Question: 4 A call option on British pounds (E) exists with a strike price of $1.52 and a premium of $0.11 per unit. Another call option

4 A call option on British pounds (E) exists with a

4 A call option on British pounds (E) exists with a strike price of $1.52 and a premium of $0.11 per unit. Another call option on British pounds. has a strike price of $1.56 and a premium of $0.09 per unit. One option contract represents 31,250. a. Complete the worksheet for a bull spread below. Use a minus sign to enter loss values, if any. If the answer is zero, enter "0". Round your answers to the nearest cent. Value of British Pound at Option Expiration $ 1.43 $ 1.52 Call $1.52 $ $ Call @$1.56 $ $ Net $ $ 1.56 $ $ 1.65 $ $ $ b. What is the break-even point for this bull spread? Round your answer to the nearest cent. c. What is the maximum profit of this bull spread? What is the maximum loss? Use a minus sign to enter a loss value. If the answer is zero, enter "0". Round your answers to the nearest cent. Maximum profit: $ Maximum loss: $ d. If the British pound spot rate is $1.54 at option expiration, what is the total profit or loss for the bull spread? Use a minus sign to enter loss values, if any. If the answer is zero, enter "0". Round your answer to the nearest dollar. $ e. If the British pound spot rate is $1.51 at option expiration, what is the total profit or loss for a bear spread? Use a minus sign to enter loss values, if any. If the answer is zero, enter "0". Round your answer to the nearest dollar. $

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