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Viner Co., an Australian company, has developed the following probability distribution for the spot rate of the Chinese yuan (CNY) against the Australian dollar (A$)
Viner Co., an Australian company, has developed the following probability distribution for the spot rate of the Chinese yuan (CNY) against the Australian dollar (A$) in six months to buy put options on CNY1.31 million with an exercise price of A$0.3968 and a premium of A$0.0357. A$0.2761 [31 per cent probability] A$0.4401 [30 per cent probability] A$0.5272 [(100-31-30) per cent probability] What is the expected value of the cash to be received in A$ from the put option hedge? (enter the whole number without sign and symbol)
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