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The outcome of a options market hedge for C$200,000 accounts payable due in 6 months is...

The outcome of a options market hedge for C$200,000 accounts payable due in 6 months is when options strike price and the premium are $0.9850 and $0.01 respectively and the us and the C$ interest rates are 3.0% and 3.5% respectively: Explain.

                a.             $199,030                                               b.             $199,035

                c.             $199,030 or less                                   d.             $199,035 or less

                d.             none of the above

  

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