mp3bu

I think I disagree on option premium:
option premium is paid in spot terms at the beginning of the period , i.e. in December for March delivery. The cost is :
UK # Cost of premium=
(Principle in USD/Strike Rate in USD per UK#) * option price in USD per UK# / Spot Rate in USD per UK#
This gives :
UK # Cost of Premium= 15M/1.55 * 0.015/1.5 = UK# 96,774
Conversion of 15M USD @1.55 = UK#9,677,419
Gives a net UK Pounds of 9,580 thousand, much closer to CFAI answer of 9,577 thousand
You are making the mistake that the premium can be converted at the STRIKE RATE , while actually it is paid up front and converted at the SPOT Rate prevailing