Question: 4. You enter a 3-year future contract to purchase gold. The current spot price is $1,716.42 per ounce. It costs the bearer of the gold

4. You enter a 3-year future contract to purchase gold. The current spot price is $1,716.42 per ounce. It costs the bearer of the gold $15 per ounce to store it each year. Assume an interest rate of 2%. (1.00 points) (a) What is the present value per ounce (U) of the storage costs that the gold bearer will incur during the life of the contract? (b) Using your answer from (a), what is the price on this future?

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