1.A one- year gold future contract is selling for 1141.Spot gold prices are 1200 and the one-year risk-free rate is 2%.

a. according to spot-future parity, what should be the futures price?

b. what risk-free strategy can investors use to take advantage of the futures mispricing, and what will be the profits on the strategy?

2.It is now January.The current interest rate is 3%.The June futures price for gold is 1246.30, while the December future price is 1251.Is there an arbitrage opportunity here? If so, how would you exploit it?

explain and answer