Please draw well-labelled profit diagrams of the exporter position, the option, and the hedged position. In...

Please draw well-labelled profit diagrams of the exporter position, the option, and the hedged position. In your analysis, ignore the potential mismatches between the exchange-traded options and the original cash flow (i.e., assume you can construct a perfect hedge).

Please up me understand a well-labeled diagram and illustrate the best approach how to draw

Option Hedge	Put Option
Strike Price from January 14^th 1986	$1.45 USD/ £
Premium	0.0044
Expiration Date	3 Months: 14^th April 1986.

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jeff jeffy answered 3 years ago

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Please draw well-labelled profit diagrams of the exporter position, the option, and the hedged position. In...

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