
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Transcribed Image Text:You buy 6 call options with a contract size of AUD 30,000. They have a USD/AUD strike
price of 0.57 and a premium of 7.86 (USD/AUD). You hold these options for 1 month
and then sell them for 6.8 (USD/AUD). The brokerage fee on each contract is payable on
both entry and exit and is USD 12.21. What is the net profit on this transaction in USD?
O a. -190,946.52
O b. -31,824.42
O c. -190,800.00
d. -190,873.26
O e. -55,800.00
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