Foreign exchange risk management by option contract

COMAGINTER purchases its products from a Canadian supplier. On April 13, 2021, the supplier has formulated a CDG CIP Roissy offer of 200,000 CAD, payable within 90 days of the order date. This offer was accepted one month later by COMAGINTER. In order to protect itself against the exchange rate risk, it decides to hedge by purchasing a European option contract. She receives the information in Appendix 1 from her bank.

Question:

Calculate the overall net amount in EUR disbursed for this import according to the following two assumptions: Assumption 1: 1 EUR = 1.56045 - 1.30185 CAD.

Assumption 2: 1 EUR = 1.48185 - 1.23350 CAD

NB: after having made your calculations on the paper, you will complete the summary table in Annex 2.

Appendix 1: Banking information as of April 13, 2021

Spot price: 1 EUR = 1.58675 - 1.35600 CAD

Exercise price: 1 EUR = 1.26585 CAD

strike price:1,26585 CAD	1 month	2 months	3 months	4 months	5 months
premium	2%	2,5%	3%	3,5%	4%

Appendix 2: Summary Table

	hypothesis 1	hypothesis 2
strike price
Net amount in EUR paid for the premium
Spot exchange rate applicable at maturity
Specify if "IN", "OUT" or "AT" the money
Net amount in EUR paid at maturity
Net final amount in EUR paid for this import