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Wesfarmers has developed the following probability distribution for the spot rate of the Indian rupee (INR) against the Australian dollar (A$) in six months to

Wesfarmers has developed the following probability distribution for the spot rate of the Indian rupee (INR) against the Australian dollar (A$) in six months to buy call options on INR1.08 million with an exercise price of A$0.3791 and a premium of A$0.0381.

A$0.2630 [38 per cent probability]

A$0.4967 [20 per cent probability]

A$0.5389 [(100-38-20) per cent probability]

What is the expected value of the cash to be paid in A$ for the call option hedge? (enter the whole number without sign and symbol)

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