Question: You buy a call option on SFr with a strike price of $0.6573/SFr. You pay a premium of $0.0010/SFr to buy the option. The contract
You buy a call option on SFr with a strike price of $0.6573/SFr. You pay a premium of $0.0010/SFr to buy the option. The contract size is SFr125, 000. If the option expires when the spot price is $0.6682/SFr, what is your net profit on this transaction? (For simplicity, ignore the time value of money.)
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The option is worth 06682... View full answer
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