Calculate option payoff and profit for each these spot value

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Reference no: EM13848677

Rixon Corporation purchases CHF call options with a strike price of USD 0.90. The option premium is USD 0.04 per currency unit. A financial analyst at Rixon forecasts the following possible values for spot CHFUSD at maturity. Calculate option payoff and profit(per currency unit) for each these spot values

Possible Value of CHFUSD Option Exercise(Y/N) Payoff Profit

0.92

0.96

1.02

Reference no: EM13848677

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