Calculate the net pay-off on long call

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The following information is available: Call contract size GBP100 Put contract size GBP100 000 Price of call AUD0.01 Price of put AUD0.008 Exercise exchange rate of call 2.5000 Exercise exchange rate of put 2.5000

Calculate the net pay-off on long call, long put and the combined position at the following spot exchange rates:

a. 2.520;
b. 2.530;
c. 2.490;
d. 2.480.

Reference no: EM132540591

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