Please note the strategy "buy low sell high" as at time t-1 NOT t=0. 1. Suppose the 1-yr forward price of a barrel of oil is $20 and current oil price is $18. The cost of carry equals $20.5 (interests - $1.5 and storage fee and insurance - $1. How to make money without risk and with your own money? (100 pts.) Today (t=0) One year from today (t=1) You buy and store a barrel of oil at__ You deliver a barrel of oil or or sell a barrel of oil at $ You save storage for $ If the price at t-1 is $21 You buy a forward contract at $___ You buy a barrel of oil at_ Sell a forward contract at $__ You sell a barrel of oil at Note: Only borrowing and lending in this section You borrow $ You payoff your debt and storage fee $ Vebe You borrow $ You payoff your debt and storage fee 5. You lend $ You receive 5