1 - University of Nevada, Reno | University of Nevada, Reno

Buy a call option on Japanese yen Amount of yen payable 8,000,000.00 Current spot rate (¥/$) 108.20 Premium on call option, % 2.500% Cost of call option $1,848.43 If the spot rate at end of 3-months is greater than strike rate Maximum cost the option is exercised yielding gross dollars of $74,074.07 guaranteed; Plus cost of option (premium ... ................
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