Question: A forward contract is sold at t = 0 with a forward price F0 = $200. Suppose the spot price (S0) at t = 0

A forward contract is sold at t = 0 with a forward price F0 = $200. Suppose the spot price (S0) at t = 0 is $175, and the settlement (expiration) day spot price is ST = $185. What is the value of the contract at settlement to the seller of this forward?

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