Question: (1 point) Consider a forward contract on a commodity with a current price of $750 and delivery time in 6 months. Assume that the risk-free

(1 point) Consider a forward contract on a commodity with a current price of $750 and delivery time in 6 months. Assume that the risk-free rate of interest is 3.5% compounded monthly. The carrying cost is $7 per month paid at the beginning of each month. Assume that today is the beginning of a month, and the carrying cost payment has not been made yet. a) Find the forward price of the commodity for delivery in 6 months: b) Find the forward price of the commodity 2 months from now if the asset is traded at $700 at that time: c) What is the value of the contract 2 months from now? The contract value is $

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