A two-year European call option on a dividend-paying stock is currently selling for $10. The stock price is $8 4, the strike price is $80, and a present value of all future expected dividends is $2. If the risk-free interest rate is 8% per annum for all maturities, continuously compounded, what strategy should be taken to exploit arbitrage opportunity, if there is any?
A-Sell the call option and short the stock
B-Buy the call option and short the stock
C-Buy the call option and buy the stock
D-Sell the call option and sell the stock