Question: If Jack Fa expects foreign currency will rise in a month, calculate Jacks profit or loss. (2 marks) b) Jack Fa is a foreign currency

If Jack Fa expects foreign currency will rise in a month,

If Jack Fa expects foreign currency will rise in a month, calculate Jacks profit or loss. (2 marks)

b) Jack Fa is a foreign currency trader at Mebeng, Kuala Lumpur. Recently, he speculates to gain profit from his expectation of future foreign currency. Below is the information on the options market in Singapore dollar: Strike price 1-month spot Premium Option Put 0.3300 0.3400 0.0005 Call 0.3200 0.3500 0.0005

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