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What is the expected value of the cash

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Wesfarmers has developed the following probability distribution for the spot rate of the Indian rupee (INR) against the Australian dollar (A$) in six months to buy call options on INR1.55 million with an exercise price of A$0.3472 and a premium of A$0.0316. As0.2495 [33 per cent probability] A50.4217 [32 per cent probability] A$0.5661 [(100-33-32) per cent probability] What Is the expected value of the cash to be paid in A$ for the call option hedge? (enter the whole number without sign and symbol)

Reference no: EM132999329

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