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CTP · Question #223

CTP Question #223: Real Exam Question with Answer & Explanation

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Question

  • (Topic 3) What is the premium (price) for an oil contract, if the following conditions are present? LIBOR rate of 5% Out of the money cost of $3 Strike price is $4 In the money price of $1 Speculative premium of $2

Options

  • A$3
  • B$5.25
  • C$7
  • D$7.35

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