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Business, 20.12.2020 03:50 andrewmena05

A European call and put option on the same security both expire in three months, both have a strike price of 20, and both sell for the price 3. If the nominal continuously compounded interest rate is 10% and the stock price is currently 25 , identify an arbitrage.

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A European call and put option on the same security both expire in three months, both have a strike...

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