Kizspy | Question: 4
(Choose 1 answer)
(24935) The spot price of corn is $5.85 per bushel. The opportunity cost of capital for an investor is 0.5%per month. If storage costs of $0.04 per bushel per month are factored in, all else being equal, what is the likely price of a 4-month forward contract?
A. $5.808
B. $5.736
C. $5.968
D. $6.006
