On 20 June, you bought two contracts of call option for euro with a strike price of $ 14000 at a premium of $ 0.07. The spot rate was $ 14500 per euro then. The option expires in six months time in July. One contract of options is for euro 125000. You are required to find -
Question 1: Premium payable by you:
a) $15,500
b) $17,500
c) $16,500
d) $17,000