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If you have purchased cotton bale for Rs. 8000 and you decided to keep it in your storage for next 6 months before you deliver
If you have purchased cotton bale for Rs. 8000 and you decided to keep it in your storage for next 6 months before you deliver it to customer. Storage cost is Rs 500 per bale. Calculate forward price for 1 cotton bales if you enter the contract today with 6 months expiration using cost of carry method?
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