a. If the spot price of gold is $992 per troy ounce, the risk-free interest...
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Finance
a. If the spot price of gold is $992 per troy ounce, the risk-free interest rate is 4%, and storage and insurance costs are zero, what should be the forward price of gold for delivery in one year? (Round your answer to 2 decimal places.)
Forward Price ------
b. Calculate risk-free arbitrage profits if the forward price is $1,092. (Round your final answer to nearest whole dollar amount.)
Profit ---------
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