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1 . if gold futures that expire in 3 months are trading for an F = $ 1 4 0 0 / oz , the

1. if gold futures that expire in 3 months are trading for an F=$1400/ oz, the interest rate is 5%(annual compounding), and the spot price of gold is $1350 oz. If there is no cost to storing, the present value of the arbitrage profits per oz are:

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