PLEASE ANSWER ALL PARTS (a-d): WILL RATE!!!

A charitable organization has issued a bond that gives the holder the option to cash in the principal as either US$10,000 or C$13,000. This asset can be viewed as a US$10,000 bond plus a call option on C$13,000 at a strike price of 0.7692 US$ per C$.

a. Can the bond also be viewed as a C$ bond plus an option? Explain.

b. Explain how the two equivalent views are just an application of call-put parity.

c. The strike price stated as the US$ price of the C$ is a natural way of quoting a rate for a U.S. Investor. But buying C$13,000 at US$ rate of 0.7692 per C$ is the same as selling US$10,000 at a C$ price of 1.30 per US$. This way of expressing the transaction make more sense to a investor. Restate the conditions of the bonds using this strike price in terms of the C$ price of the US$, and give two possible interpretations of the option from a Canadian point of view.

d. Diagram the payoff in US$ as a function of the US$/C$ realized exchange rate at the maturity of the bond. Do the same in terms of a C$ payoff as a function of the C$/US$ rate.