Business, 16.10.2021 22:10 wsdafvbhjkl

Mary buys a call option on the Australian dollar (A$) with a strike price (K) of $0.9100/A$ at a premium (P) of $0.03/A$ and with an expiration date six months from now. The option is for A$100,000. Should Mary exercise the option? and According to her decision, what is Mary’s net and gross profit or loss at maturity if the ending spot rates (St) are $0.8800/A$, $0.9100/A$, $0.9200/A$, $0.9400/A$, and $0.9700/A$?

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Mary buys a call option on the Australian dollar (A$) with a strike price (K) of $0.9100/A$ at a pre...