You sold a put option on the euro and received 05 the


You sold a put option on the euro and received $.05. The exercise price is $1.10. What is your net income if the spot rate is $.80? (please explain the answer)

You paid $.10 to buy a put option on the euro. The exercise price is $1.10. What is your net income if the spot rate is $1.20? (please explain the answer)

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Financial Management: You sold a put option on the euro and received 05 the
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