The current price of palladium is $817 per ounce. The total storage costs are $80.00 per ounce
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Question:
The current price of palladium is $817 per ounce. The total storage costs are $80.00 per ounce per year payable quarterly in advance. Assuming that interest rates are 5% (continuously compounded) per annum for all maturities, what is the futures price of palladium for delivery in nine months?
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