Question 7 3 pts Problem 7 (3 points) A non-dividend paying stock is currently priced at $75 and the risk-free rate with continuous compounding is 12% per annum. Consider options on this stock that have a strike price of 578 and maturity of year.. a) If the price of a European put option on the stock is currently $7 what will be the price of a European cal option on the stock in the absence of arbitrage. European call price is European calprice is mad e b) If the price of a European put option on the stock is currently $7 while the price of a European calloption on the stock is $9, what positions do you need to take to take advantage of the arbitrage opportunity? the Positions for arbitrage profit (for each asset enter either "long" or "short"): the put; the stock call; c) If the stock is expected to pay a dividend of $5 in six months and the price of a Eurovean ut option on the stock is currently S7 what will be the price of a European call option on the stock in the absence of arbitrage European call price is