What is the nine-month forward price for asset

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Reference no: EM131940414

The spot price of an asset X is $20 per unit. The funding rate is 4% per year and the storage cost plus other costs amount to 5% per year.

A) What is the 9-month forward price for Asset X?

B) What is the forward price after 3 months when the spot price went up by $10? Assume carry cost remains the same.

Reference no: EM131940414

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