Estimating the Euro-Bund Price, Euro-bund (German) futures have a contract value of €100,000, and the underlying consists of long-term German debt instruments with 8.5 to 10.5 years to maturity. Suppose the underlying 2% German bund is quoted at €104 and has accrued interest of €0.17 (one month since last coupon). The euro-bund futures contract matures in one month. At contract expiration, the underlying bund will have accrued interest of €0.33, there are no coupon payments due until after the futures contract expires, and the current one-month Rf is 0.2%. The conversion factor is 0.67843. What is the equilibrium euro-bund futures price based on the carry arbitrage model?