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Q26. On November 7 the spot price of Oil was $88 per barrel and the price of a December Oil futures is $89.5 per barrel.

Q26. On November 7 the spot price of Oil was $88 per barrel and the price of a December Oil futures is $89.5 per barrel. The risk premium is $0.20 per barrel. What is the expected spot price at expiration? A. $88.20 B. $1.50 OC. $89.70 D. $89.5

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