A six-month European call option on a non-dividend-paying stock is currently selling for $6. The stock price is$64, the strike price is S60. The risk-free interest rate is 12% per annum for all maturities. what opportunities are there for an arbitrageur? (2 points) 1. a. What should be the minimum price of the call option? Does an arbitrage opportunity exist? b. How would you form an arbitrage? What is the arbitrage profit at Time 0? Complete the following table. c. Stock Price on Expiration DayStock Cash Flows on Expiration Day Call Discount BondValue of Strategy 50 60 70 d. Is there any possibility that the arbitrageur will lose money on the trades formed in Part (b)? Explain. e. if the price of the call option is $7.80, what should be the price of an European put option with the same strike price of $60? (Hint: Put-Call Parity)