Problem 1 (4 Points) If the spot price of corn is 60 cents per pound. The storage costs are 0.20 cents per pound per quarter. Assuming that interest rates are 5% per annum for all maturities. a) Calculate the present value of the storage costs of corn in a futures contract for delivery in six months b) Calculate the futures price of corn for delivery in six months. c) If a trader shorts a corn futures contract when the futures price is 65 cents per pound. The contract is for the delivery of 40,000 pounds. At the end of the contract, what is the trader gain or lose if the cotton price is 68.50 cents per pound (we assume that there is no storage cost for the corn in this calculation.)