Suppose call and put prices are given by What no-arbitrage property is violated? What spread positionwould you

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Suppose call and put prices are given by
Suppose call and put prices are given byWhat no-arbitrage property

What no-arbitrage property is violated? What spread positionwould you use to effect arbitrage? Demonstrate that the spread position is an arbitrage.

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Derivatives Markets

ISBN: 978-0321543080

4th edition

Authors: Rober L. Macdonald

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