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Suppose that a European call option price cu 4; spot price So= 40, T = 6 months; r = 10% per annum; strike price K

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Suppose that a European call option price cu 4; spot price So= 40, T = 6 months; r = 10% per annum; strike price K =35 and dividends D = 0. Use the put-call parity to calculate the arbitrage possibilities when p = 5 and p = 4

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