Suppose you observe a European call option on a stock that is priced at less than the
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Suppose you observe a European call option on a stock that is priced at less than the value of S0 PV(K) PV(div). What type of transaction should you execute to achieve arbitrage? (Be specific with respect to amounts and avoid using puts in this arbitrage.)
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Related Book For 
Financial Markets And Corporate Strategy
ISBN: 9780077119027
1st Edition
Authors: David Hillier, Mark Grinblatt, Sheridan Titman
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