Find the lower bound of a European foreign currency put if the spot rate is $3.50,the domestic interest rate is 8 percent,the foreign interest rate is 7 percent,the option expires in six months,and the exercise price is $3.75.(The interest rates are continuously compounded. )
A)zero
B)$0.250
C)$0.366
D)$0.108
E)none of the above

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The Answer of Find the lower bound of a European foreign currency put if the spot rate is $3.50,the domestic interest rate is 8 percent,the foreign interest rate is 7 percent,the option expires in six months,and the exercise price is $3.75.(The interest rates are continuously compounded. )
A)zero
B)$0.250
C)$0.366
D)$0.108
E)none of the above

Find the Lower Bound of a European Foreign Currency Put