Question: US Dollar/Euro. The table below, indicates that a 1 year call option on euros at a strike rate of $1.2501 will cost the buyer $0.0518

US Dollar/Euro. The table below, indicates that a 1 year call option on euros at a strike rate of $1.2501 will cost the buyer $0.0518 or 4.11%. But that assumed a volatility of 10.500% when the spot rate was $1.2596. What would the same call option cost if the volatility was reduced to 10.500% when the spot rate fell to $1.2478?

US Dollar/Euro. The table below, indicates that a 1 year call option

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