a stock index is at 443.35. a futures contract on
Question # 00461513
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Updated on: 01/12/2017 11:19 PM Due on: 01/13/2017
a stock index is at 443.35. a futures contract on the index expires in 201 days. the future price is 458.5. The risk free rate is 6.5%. Value of dividends is 5. Is the contract mispriced? How can an arbitrageur take advantage?
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Rating:
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Solution: a stock index is at 443.35. a futures contract on