Copper rally heats up as prices hit highest level since April 2019

Suppose that copper costs 3.00 today and the continuously compounded lease rate for copper is 5 %. The continuously compounded interest rate is 10 %. The copper price in 1 year is uncertain and copper can be stored costlessly. a. If you short-sell a pound of copper for 1 year, what payment do you have to make to the copper lender? Would it make sense for a financial investor to store copper in equilibrium? b. Show that the equilibrium forward price is 3.154. c. In what sense is 3.316(=3 ×e^0.

Calculating Copper Recovery Rate For Scrap Cables