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Business, 15.12.2020 16:20 cmb6627

A&X Corp wants to use option to hedge its receivables of 150,000 euro in 90 days; the available options are as follow: the call with an exercise price $1.68, a 90-day expiration date and a premium of $0.02 per unit. The put option with an exercise price of $1.70, a 90-day expiration date and a premium of $.02 per unit. Ninety days (90 days) has expired and the spot rate for the Euro is $1.67. How much will A&X Corp. Receive?

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A&X Corp wants to use option to hedge its receivables of 150,000 euro in 90 days; the available...
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