Problem 25-26 Arbitrage Opportunities (LO3) a. Circular File stock is seling for $38 a share. You see that call options on the stock with exercise price of $32 are selling at $3. What is riskless profit you may receive? (Round your answers to the nearest whole dollar.) Riskless profit What will happen to the option price as investors identify this opportunity? (That is what has to happen to the call price in order to make the profit oppdrtunity disappear?) Investors will (Click to select the call price until the profit opportunity disappears. The (Click to select) price of the call will be $ b. Assume the the current selling price for Circulatr File is the same as in part a. Now you observe that put options on Circular File with exercise price $47 are selling for $2. What is the riskless profit? (Round your answers to the nearest whole dollar.) Riskless profits What should the minimum price of a put be (so a profit opportunity will no longer exist)? The minimum price of a put $[ References eBook & Resources Worksheet Problem 25-26 Arbitrage Opportunities (L03)