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1U. Assume that a security 15 currently priced at $200. The risk-tree rate iS .5 percent. A. A dealer offers you a contract in which

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1U. Assume that a security 15 currently priced at $200. The risk-tree rate iS .5 percent. A. A dealer offers you a contract in which the forward price of the security with delivery in three months is $205. Explain the transactions you would undertake to take advantage of the situation. B. Suppose the dealer were to offer you a contract in which the forward price of the security with delivery in three months is $198. How would you take advantage of the situation

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