Multiple Choice
An investor enters into a forward contract to buy 5,000 barrels of oil at $80 a barrel in three months.Two months later,suppose that the one-month forward price of oil is $83 a barrel,and the one-month interest rate is 0%.The value of the contract the investor holds after two months is
A)
B) + $15,000
C) +$400,000
D) +$415,000
Correct Answer:

Verified
Correct Answer:
Verified
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