Lets say that F(0,T)=$35 per barrel and S(T)=$33 per barrel. The forward contract covers 30000 barrels of
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Lets say that F(0,T)=$35 per barrel and S(T)=$33 per barrel. The forward contract covers 30000 barrels of corn oil. Which party, the one that bought the contract, or the one that sold the contract, made the profit? How much is the profit?
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