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Oions and more Question 18 Suppose that the current market price of a stock is MP = $10.00 per share. Current market premiums for a

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Oions and more Question 18 Suppose that the current market price of a stock is MP = $10.00 per share. Current market premiums for a put options with strike price SP = $11.00 ISP-51.00 per share. Current risk tree Interest rater 5%. Assume that the time to expiration T-1 year. What would be the fair premium (C") for the Coll option on the stock with strike price SP-511.00 per share? Please enter only the numeric value-no letters of characters! Type your numeric answer and submit Unanswered Save Question 19 Refer to the problem stated in Question 18 (the last question). Suppose that the Call option on the stock with SP 511 per share is currently trading at a premium C-50.22 per share. Is there a risk free arbitrage opportunity Select an answer and submit. For keyboard navigation, use the ws down arrow keys to select an answer a Yes b No Unanswered a 5 Question 20 Refer to Questions 18 and 19the last two questions). Suppose that the Call option on the stock with SP-S11 per share in currently trading at a premium C$0.22 per share. Comparing the calculated fair premium for the call option (Cyou see that there is a risk free arbitrage opportunity. How do you open the arbitrage position? Select the right choice Select aanwer and submit Forbardation, use the powers to seledan Buy (long the Calland sell short the synthetic Call b Sell short the call and buy long the synthetic Buy long the Put, and sell short the synthetic Put d Sell (short the Put, and buy do the synthetic Put Products

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