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What is riskless profit you may receive

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Circular File stock is selling for $23 a share. You see that call options on the stock with exercise price of $19 are selling at $2. 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? Investors will drive up(Click to select)

drive down

drive up

the call price until the profit opportunity disappears. The (Click to select)

maximum

minimum

price of the call will be $. b.Now you observe that put options on Circular File with exercise price $32 are selling for $3. What is the riskless profit? (Round your answers to the nearest whole dollar.) Riskless profit$ What should the minimum price of a put be? The minimum price of a put$

Reference no: EM132558331

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