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Suppose there is a speculator who went long 5 contracts of March 2021 coffee at a price of 127.3 cents per pound per contract. A
Suppose there is a speculator who went long 5 contracts of March 2021 coffee at a price of 127.3 cents per pound per contract. A contract has 37,500 pounds. The broker fee is $75 per contract. At what futures price (in cents per pound, to the nearest three decimal points) do they break even, i.e., make zero net profit? Ignore exchange rate issues.
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