n NISM Certifications
NSM General NISM
Medium

A garment company imported machinery from the USA with payment due in three months. To hedge currency risk, it bought a USDINR call option at Rs 75.00 strike price, paying Rs 1.60 premium. The settlement price at maturity was Rs 77.10. What is the net profit per USD on the option cash settlement?

Practice question from NISM Series I - Mock Test 5 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Rs 2.10

  2. B

    Rs 1.60

  3. C

    Rs 1.10

  4. Rs 0.50

    Correct answer

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

Test yourself for real

Take a full General NISM mock test.

Same duration, same weighting, same difficulty distribution as the real exam — with explanations on every question.