A U.S. corporation has bought currency call options to hedge 70,000 pound payable. The premium is 2 cents for each GBP and the exercise price of option is 1.6500 (USD per 1 GBP). If the spot rate at the time of maturity is 1.7100 USD per GBP, what is the net profit the company gets from the option hedge?
$3,600.
$4,900
$2,800
$1,400