If you purchase a call option on euro futures with E=$1.15/€ and an expiration date of...
If you purchase a call option on euro futures with E=$1.15/€ and an expiration date of June 17th, upon exercise you will
| a. |
have a short futures position with a futures price of $1.15/€ |
|
| b. |
will sell euros at $1.15/€ |
|
| c. |
will purchase euros at $1.15/€ |
|
| d. |
have a long futures position with a futures price of $1.15/€ |
Homework Answers
Call option is an option to buy the underlying asset at the exercise price. So, upon exercise, you will purchase euros at the exercise price of $1.15/€ (option c)
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If you purchase a call option on euro futures with E=$1.15/€ and
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