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The spot price of an investment asset is $30 and the risk-free rate for all maturities is 10% p.a. with continuous compounding. The asset incurs
The spot price of an investment asset is $30 and the risk-free rate for all maturities is 10% p.a. with continuous compounding. The asset incurs a storage cost of $2 at the end of the first year and at the end of the second year. What is the three-year forward price?
Select one alternative
$41.53
$40.85
$45.90
$45.15
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