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(6) The current price of gold is $300 per ounce. Consider the net cost of carry for gold to be zero. The risk-free interest rate
(6) The current price of gold is $300 per ounce. Consider the net cost of carry for gold to be zero. The risk-free interest rate is 6% per annum. What should be the price of a gold futures contract that expires in 90 days? Illustrate how an arbitrage transaction could be executed if the futures contract is priced at $306 per ounce
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The Power Of Money How Ideas About Money Shaped The Modern World
Authors: Robert Pringle
1st Edition
3030258939,3030258947
