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Suppose That Today's Price of Gold in the Spot Market

Question 13

Multiple Choice

Suppose that today's price of gold in the spot market is $1,510 per ounce.The price of a zero-coupon bond maturing in six months is $0.98.Then the six-month forward price for gold is:


A) $1,515.08
B) $1,531.61
C) $1,540.82
D) $1,550.69
E) None of these answers are correct.

Correct Answer:

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