Question: NEED HELP WITH C1 AND C2 Problem 24-2 Understanding Option Quotes (LO1] Use the option quote information shown here to answer the questions that follow.

 NEED HELP WITH C1 AND C2 Problem 24-2 Understanding Option Quotes(LO1] Use the option quote information shown here to answer the questions

NEED HELP WITH C1 AND C2

Problem 24-2 Understanding Option Quotes (LO1] Use the option quote information shown here to answer the questions that follow. The stock is currently selling for $74. Calls Puts Option Expiration RWJ Mar Apr Jul Oct Strike Price 69 69 69 Vol. 244 184 153 74 Last 4.60 10.45 11.30 12.20 Vol. 174 141 57 25 Last 4.70 9.45 12.95 11.85 69 a-1.Are the call options in or out of the money? O In the money o Out of the money C-1. Two of the options are clearly mispriced. Which ones? Mar call U Apr call Oct call U Mar put Oct put O Apr put C- What is the arbitrage profit you could make on each of the mispriced options? 2. (Round your answers to 2 decimal places, e.g., 32.16.) Mispriced option Profit

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