The theoretical futures price depends on which of the following factors?

Question

Quizplus · Accepted Answer

The theoretical futures price is influenced by the cash market price (the price of the underlying asset), the financing cost (the cost of carrying or holding the asset until the future date), and the cash yield on the underlying instrument (any income generated from the asset, such as dividends or interest). Therefore, all of the listed factors affect the theoretical futures price.

The Theoretical Futures Price Depends on Which of the Following