Question 2 a. b. The current price of Stock Y is $50. The annually compounded sk-free rate is 7 A three month call option on Stock y, with an exercise (strike) price of $50 is trading st 51.57 What is a fair price for a three-month put option on Stock Y? Explain how you would create a three-month risk-free borrowing (you are the borrower) with the help of options? What is the effective annual rate on the borrowing that you have created in part b? Explain how you would create a short position in a share of Stock Y with the help of options? of the stock price in three months is $55 then what will be the profit or loss on the position that you created in part d? Specity whether it is a profit or a loss. d. e. it View Insert Format Tools Table % . ot Paragraph Y BI U ALTY MacBook Air