Question: I know how to solve this question, but I am just not sure if my answer is correct. The spot price of gold is $1450
I know how to solve this question, but I am just not sure if my answer is correct.
The spot price of gold is $1450 per ounce. The storage costs are $180 per ounce per year payable monthly in advance. Assuming that interest rates are 6% per annum for all maturities, calculate the futures price of silver for delivery in five months
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