Suppose a stock is en y trading fo $62.00 and in one poi d will ci er go up by 20 or fall by 9 the option actually scld in the market tor $8 DD Describe a trading strategy that yielos arhitrage protits ir he -period sk s at is 3.1%, hal is the price ora Curo an ut opt hat expires in one period and has an cse price or 52 00? Suppose The price ot the one-year put option is Round to the nearest cent) The trading strategy that yields arbitrage profits would be (Select the best choice below.) OA. The arbitragc trading opportunity will involve selling (short) the option and sclling (short) the replicating porttolio O B. The arbitrage trading opportunily will involve buying the oplion and selling tshorl) the replicating portolio. OC. The arhitrage trading opportunity will involve selling (short) the option and buying the replicatng portalio D. The artitrage trading opportunity will involve borrowing at the risk-tree rate to buy the n ton and buy the replicat ng po tolo