PLEASE ANSWER Q3 AND Q4 ONLY

Assume that today is 5/11/2020 and that you can lend/borrow at interest rates of 1% p/a (monthly compounding)

Below is the table with gold prices for May 2020 and May 2021

DATA : May 11,2020- closing prices
Month		Price
May-20	1723
May-21	1750

1. Find an arbitrage opportunity using the spot and future prices of Gold .
2. How would your answer to previous question change if you can lend/borrow at interest rates of 2% p/a (monthly compounding)
3. How would your answer to question Q.1.1 change if you can lend/borrow at interest rates of 2% p/a (monthly compounding)

and you have to pay for borrowing Gold a lending fee of 2% p/a (monthly compounding).

4. (HARD)Assuming that there are no arb. Opportunities, calculate the interval of lending rates as implied by the futures prices.

Remember , you pay a 2% p/a lending fee (monthly compounding) if you borrow Gold.