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The spot price of wheat is $ 4 . 9 1 per bushel. The current risk free rate is 4 . 0 % per annum.

The spot price of wheat is $4.91 per bushel. The current risk free rate is 4.0% per annum. Inflation is currently running at 2.35% annually. What is a reasonable one-year forward price for wheat?
$5.11 per bushel
$5.22 per bushel
None of the other answers is correct.
$4.91 per bushel
$5.03 per bushel
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