3. On July 5, a stock index futures contract was at 394.85. The index was at 392.54,...

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3. On July 5, a stock index futures contract was at 394.85. The index was at 392.54, the risk-free rate was 2.83 percent, the dividend yield was 2.08 percent, and the contract expired on September 20. Determine if an arbitrage opportunity was available, and explain what transactions were executed.

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