3. (Another arbitrage question.) The lower bound for the price of an American put option is PA(t) > max(E- S(t),0). If the put is American and E > S(t) and Pat) S and PAS, t) E. 3. (Another arbitrage question.) The lower bound for the price of an American put option is PA(t) > max(E- S(t),0). If the put is American and E > S(t) and Pat) S and PAS, t) E