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Calculate the implicit cost of carrying an ounce of gold

Question:

Calculate the implicit cost of carrying an ounce of gold and the implied storage cost per ounce of gold if the current spot price of gold per ounce is $425.00, the forward price of an ounce of gold for delivery is 273 days is $460.00, the yield over 91 days on a zero-coupon treasury bill is 2%, and the term structure of interest rates is flat.

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Finance Basics: Calculate the implicit cost of carrying an ounce of gold

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Finance Basics: Calculate the implicit cost of carrying an ounce of gold

Reference No:- TGS02080215

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