Use the following premiums for S&P options with 6 months to expiration:

Strike	Call	Put
950	120.405	51.777
1,000	93.809	74.201
1,020	84.470	84.470
1,050	71.802	101.214
1,107	51.873	137.167

Assume you buy a 1,000-strike S&P call, sell a 1050-strike S&P call, sell a 1,000-strike S&P put, and buy a 1050-strike S&P put. a. Using a table, verify that there is no S&P price risk in this transaction. b. What is the initial cost of the position? c. What is the value of the position after 6 months? d. What is the implicit interest rate in these cash ows over 6 months?