Donna Doni, CFA, wants to explore potential inefficiencies in the futures market. The TOBEC stock index has a spot value of $195.$ TOBEC futures contracts are settled in cash and underlying contract values are determined by multiplying $$100$ times the index value. The current annual risk$-$free interest rate is $6\mathrm{.}5\%.$

What is the theoretical price of the futures contract expiring $6$ months from now, using the costof$-$carry model. The index pays no dividends.

$$201\mathrm{.}34$

$$210\mathrm{.}75$

$$180\mathrm{.}45$

$$190\mathrm{.}55$