) A one-month European put option on a non-dividend-paying stock is currently selling for $2.50 . The stock price is $4
Posted: Thu May 19, 2022 5:28 am
) 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?
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?