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Veloo believes that the cash price of RM1400 and Nov futures price of RM1475 is mismatched. Today is mid October and Veloo plans to create

Veloo believes that the cash price of RM1400 and Nov futures price of RM1475 is mismatched. Today is mid October and Veloo plans to create arbitrage opportunity for Nov CPO futures. Given that the cost of storage is RM18 per tonne per month and cost of funding physical CPO is 6.5% per annum, show Veloos arbitrage profit if any, for 100 tonnes.

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