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Suppose that PE = $4.00, S0 = $44, T = 6 months, r = 10%, and K = $49. Carefully explain an arbitrage strategy with

Suppose that PE = $4.00, S0 = $44, T = 6 months, r = 10%, and K = $49. Carefully explain an arbitrage strategy with the Put-Call Parity if CE = $3.00. Work with 10 options contracts and 1,000 shares of the underlying stocks for trade.

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