Crude oil futures contracts are 1,000 barrels, are quoted in dollars per barrel, and the initial margin is $9,000 per contract. Soybean futures contracts are 5,000 bushels, are quoted in cents per bushel, and have an initial margin of $4,725. E-mini S&P 500 futures contracts are quoted in S&P 500 index value with a $50 multiplier and have an initial margin of $12,650 per contract. Gold futures contracts are 100 ounces and are quoted in dollars per ounce.

The spot price of gold is 1,905.00 and the six-month gold futures price is 1,981.10. The annual risk-free rate is 4.80%. 5 pts a. Show that the six-month gold futures price does not satisfy spot-futures parity. b. Demonstrate the spot-futures cash and carry arbitrage strategy. c. If an investor played this arbitrage strategy with 200 gold futures contracts, what would be the investors total profit?

(PLEASE SHOW ALL CALCULATION, NO EXCEL FUNCTIONS)