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The monetary policy stance of the central bank indicates that interest rates are expected to fall. Assume that the current interest rate is 12.75% and

The monetary policy stance of the central bank indicates that interest rates are expected to fall. Assume that the current interest rate is 12.75% and it is expected to fall to 12.00% at the end of the quarter. The standard size of the futures contract for T-Bills is PKR 1.0 million. Can a trader derive a benefit from this situation by making a profit? (Yes or No). If yes then explain in detail how? Discuss the relevant assumptions and show all calculations?

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