Question: A put option gives the owner the the underlying security. Select one: a. right; buy O b. obligation; buy O c. obligation; sell d. right;

d. right; sell Rana purchased a call option contract with the following

A put option gives the owner the the underlying security. Select one: a. right; buy O b. obligation; buy O c. obligation; sell d. right; sell Rana purchased a call option contract with the following characteristics: The call premium per Canadian dollar is $0.04, and the strike price is US SO.80/ Canadian S. The size of the contract 150,000 Canadian dollar. On the expiration date, Rana decided to let his option expire unexercised because the spot rate for the Canadian dollar fell to $0.70 on that day. Her total loss will be Select one: a. $7,000 b. $2,250 oc. $6,000 d. $4,500 Next page Call options have a premium, the the exercise price Select one: a. higher, lower O b. lower, lower O c. higher, higher

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