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Question 19 (1 point) The spot price of silver (an investment asset) is $30 and the risk-free rate is positive. There is a storage cost

Question 19 (1 point)

The spot price of silver (an investment asset) is $30 and the risk-free rate is positive. There is a storage cost for silver but silver does not provide any income. Which of the following cannot be its forward price?

Question 19 options:

$40.50

$22.22

$33.00

$33.16

Question 20 (1 point)

An exchange rate is 0.7000 and the six-month domestic and foreign risk-free interest rates are 0% and 7% (both expressed with continuous compounding). What is the six-month forward rate?

Question 20 options:

0.6527

0.6759

0.70

0.7508

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