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14. An exchange rate is 1.2000. The six-month US domestic is 6% and foreign risk-free interest rate is 4% with continuous compounding. What is the

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14. An exchange rate is 1.2000. The six-month US domestic is 6% and foreign risk-free interest rate is 4% with continuous compounding. What is the six-month forward rate? A) 1.2121 B) 1.2010 C) 1.2221 D) 1.2398 15. The spot price for crude oil is $30 per barrel. The storage cost is $1.00 per barrel per annum. The risk free interest rate is 7% with continuous compounding. The futures price for a one-year contract on crude oil should be A) $32.17 B) $33.18 C) $34.56 D) $35.18

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