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Q3: The (cc) interest rate is 3.50%. Here is a table of 2 month European put option prices on a non-dividend paying stock. a) Construct

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Q3: The (cc) interest rate is 3.50%. Here is a table of 2 month European put option prices on a non-dividend paying stock. a) Construct an arbitrage portfolio that pays at least $0.01 in the worst case. b) What is your best case profit and at what stock price (or range of prices) does it apply? c) What is your worst case profit and at what stock price (or range of prices) does it apply

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