1. The spot price of a widget is \($70.00\) per unit. Forward prices for 3, 6, 9, and 12 months are \($70.70\), \($71.41\), \($72.13\), and \($72.86\). Assuming a 5% continuously compounded annual risk-free rate, what are the annualized lease rates for each maturity? Is this an example of contango or backwardation?