Currency Call Options:
Use the following information to determine the probability distribution of net gains per unit from purchasing a call option on British pounds.
¦ Spot rate of the British pound is $1.45.
¦ Premium on the British pound option is $0.04 per unit.
¦ Exercise price of a British pound option is $1.46.
¦ Your expectation of the British pound spot rate prior to the expiration of the option is:
