Question: Determine the amount by which a stock index future is mispriced if the stock index is at 200, the futures is at 202.5, the risk-free

Determine the amount by which a stock index future is mispriced if the stock index is at 200, the futures is at 202.5, the risk-free rate is 6.45 percent, the dividend yield is 2.75 percent, and the contract expires in three months. Is it overpriced or underprice and by how much?

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