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The spot price of silver is $20.00 per o...

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题目

The spot price of silver is $20.00 per ounce. The storage cost is $3.00 per ounce per year payable quarterly in arrears. The risk-free interest rate is flat at 3.0% per annum with continuous compounding. Further, you have determined that the owning silver confers a convenience yield of 0.20% (20 basis points) per month with continuous compounding. Which is nearest to the theoretical futures price of silver for delivery in six months?

选项

A.$19.83

B.$20.79

C.$21.55

D.$23.09

答案

C

解析

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