Art Jones sold a put option on British pounds for AUD 0.0346 per unit. The strike price

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Art Jones sold a put option on British pounds for AUD 0.0346 per unit. The strike price was AUD 2.0149 and the spot rate at the time the option was exercised was AUD 1.9873. Assume Art did not obtain British pounds until the option was exercised. (i) What was Art's net profit on the put option? (2 Marks) (ii) What is the break-even GBP/AUD for the put option?

Posted Date: May 19, 2024 02:05 AM

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Art Jones sold a put option on British pounds for AUD 0.0346 per unit. The strike price

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