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A one - month put option, with a strike of 4 5 , on a non - dividend stock is selling for $ 2 .

A one-month put option, with a strike of 45, on a non-dividend stock is selling for $2. The stocks current price is $41 and the risk-free interest rate is 5%. Is there an arbitrage and, if so, map out the strategy and sketch the arbitrage payoff diagram

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