2 (20 points) Long Question 1 A two-month European put option on a non-dividend-paying stock is currently selling for $2. The stock price is $47, the strike price is $50, and the risk-free interest rate is 6% (annualized, continuous compounding). (i) (13 points) What opportunities are there for an arbitrageur? Please explain. (ii) (7 points) Would the above market prices still provide an arbitrage opportunity if the stock will pay a dividend of $2/per share in 1 month