Suppose you are market$-$maker in S&R index forward contracts. The S&R index spot price is $1100,$ the annual risk$-$free rate is $5\mathrm{.}5\%,$ and the dividend yield on the index is $1\mathrm{.}5\%.$ Suppose one of your customers wishes to enter a short $9-$month index futures position. If you take the opposite position, what is your profit from the strategy you would use to hedge your resulting long position using the index and borrowing or lending?

Question $13$ options:

$$33\mathrm{.}50$

$$25\mathrm{.}03$

$$29\mathrm{.}26$

$$0$

$$20\mathrm{.}00$