Question: (10 points) Assume there is no arbitrage. Consider eight barrier versions of the 25 month IBM European option option with strike price $109.00 and barrier

(10 points) Assume there is no arbitrage. Consider eight barrier versions of the 25 month IBM European option option with strike price $109.00 and barrier $99.00. These are characterized by "call" versus "put," "down" versus "up," and "out" versus "in." Click on all of the options whose price today must be $0.00. A. call/down/out B. call/down/in C. call/up/out D. call/up/in E. put/down/out F. put/down/in G. put/uplout H. put/up/in (10 points) Assume there is no arbitrage. Consider eight barrier versions of the 25 month IBM European option option with strike price $109.00 and barrier $99.00. These are characterized by "call" versus "put," "down" versus "up," and "out" versus "in." Click on all of the options whose price today must be $0.00. A. call/down/out B. call/down/in C. call/up/out D. call/up/in E. put/down/out F. put/down/in G. put/uplout H. put/up/in
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