1) A one-month European put option on a non-dividend-paying stock is currently selling for $2.50. The stock price is $47
Posted: Wed May 18, 2022 9:47 pm
1) A one-month European put option on a non-dividend-paying stock is currently selling for $2.50. The stock price is $47, the strike price is $50, and the risk-free interest rate is 6% per annum. What opportunities are there for an arbitrageur?