Question: Question 6 0 / 1 pts Use put call parity to determine the size of the arbitrage profit AT TIME T=3/12 arising from the following

Question 6 0 / 1 pts Use put call parity to

Question 6 0 / 1 pts Use put call parity to determine the size of the arbitrage profit AT TIME T=3/12 arising from the following situation. All options are European. So = $18.97 T = 3/12 (for both the call and the put) K = 20 (for both the call and the put) c = $2.73 p = $3.02 r = 10% (cont. comp. annual rate) Dividend = $2 in one month = (required precision 0.01 +/- 0.01) You Answered 1.74 Correct Answer 2.29 margin of error +/- 0.01

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