Explain your arbitrage strategy and how much money you


A six month call option on Harkonnen BioSands stock with a strike of 50 currently sells for 3. A put option with the same strike and expiration date sells for 2. The interest rate is 2.5 percent. Harkonnen currently sells for 52 per share.

Given all this, explain your arbitrage strategy and how much money you expect to make.

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Financial Management: Explain your arbitrage strategy and how much money you
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