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How can you arbitrage position

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If a call is selling for $6.50 when the true price calculated from a binomial tree is $6.06, how can you arbitrage the position? (show all work)

Reference no: EM133305905

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How can you arbitrage position : If a call is selling for $6.50 when the true price calculated from a binomial tree is $6.06, how can you arbitrage the position? (show all work)
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