31) On January 1, you sold one April S&P 500 Index futures contract at a futures price of 895. If the April futures price is 800 on February 1, your profit would be __________ if you close your position. (The contract multiplier is 250.)

a. $26,250 b. $23,750 c. $23,750 d. $26,250

26) A 1-year gold futures contract is selling for $1,645. Spot gold prices are $1,592 and the 1-year risk-free rate is 3%. a. Based on the above data, which of the following set of transactions will yield positive riskless arbitrage profits?

b. Buy the futures contract, and buy the gold spot using borrowed money.

c. Buy the futures contract, and sell the gold spot and invest the money earned.

d. Buy gold spot with borrowed money, and buy the futures contract.

Buy gold in the spot with borrowed money, and sell the futures contract.

21) Deployment Specialists pays a current (annual) dividend of $1 and is expected to grow at 24% for two years and then at 5% thereafter. If the required return for Deployment Specialists is 9.5%, what is the intrinsic value of Deployment Specialists stock? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Intrinsic value

$

20) On January 1, you sold one March maturity S&P 500 Index futures contract at a futures price of 1,650. If the futures price is 1,800 on February 1, what is your profit or loss? The contract multiplier is $250. (Input the amount as positive value.)

(Click to select)LossProfit

$