For this problem, assume that at this moment, S = $99, r = 0.02, C100(99, T ? 1 2 ) ? P100(99, T ? 1 2 ) = $8, and T = t + 1 2 year

10. For this problem, assume that at this moment, S = $99, r = 0.02, C100(99, T %> P100(99, T %> = $8, and T = t + % year- (a) Are there any arbitrage opportunities? If so, explain how to tackle this opportunity and determine how much money can be made. (b) All sorts of events can happen in the next six months. Nevertheless, you are safe at expiration date. List the possibilities to explain how the prot you made remains made, and you can cover all debts