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Actuarial science The current price of a commodity is 104. Each year's forward price is 4% bigger than the previous year's forward price. The yield

Actuarial science

The current price of a commodity is 104. Each year's forward price is 4% bigger than the previous year's forward price. The yield curve is flat with an effective interest rate of 8% p.a. Calculate the 4-year swap price for this commodity. a. 114.39 b. 121.67 c. 116.74 d. 112.57 e. 118.07

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