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Near market closing time on a given day, you lose access to stock prices, but some European call and put prices for a stock are
Near market closing time on a given day, you lose access to stock prices, but some European call and put prices for a stock are available as follows: Strike Price Call Price Put Price $40 $11 $3 $50 $6 $8 $55 $3 $11 All six options have the same underlying and expiration date. (i) Are these prices consistent? (ii) Construct a portfolio that will generate a risk free arbitrage pro t if this is possible.
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