Andrea is an option speculator. She anticipates the Canadian…

Questions

Andreа is аn оptiоn speculаtоr. She anticipates the Canadian dollar to depreciate from its current level of $0.90 to $0.84. Currently, Canadian dollar call options are available with an exercise price of $0.91 and a premium of $0.02. Also, Canadian dollar put options are available with an exercise price of $0.89 and a premium of $0.02. If Andrea plans to purchase or sell the option with the highest expected profit, what is Andrea's expected profit or loss per unit?

Andreа is аn оptiоn speculаtоr. She anticipates the Canadian dollar to depreciate from its current level of $0.90 to $0.84. Currently, Canadian dollar call options are available with an exercise price of $0.91 and a premium of $0.02. Also, Canadian dollar put options are available with an exercise price of $0.89 and a premium of $0.02. If Andrea plans to purchase or sell the option with the highest expected profit, what is Andrea's expected profit or loss per unit?

Andreа is аn оptiоn speculаtоr. She anticipates the Canadian dollar to depreciate from its current level of $0.90 to $0.84. Currently, Canadian dollar call options are available with an exercise price of $0.91 and a premium of $0.02. Also, Canadian dollar put options are available with an exercise price of $0.89 and a premium of $0.02. If Andrea plans to purchase or sell the option with the highest expected profit, what is Andrea's expected profit or loss per unit?

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