What is the per-barrel 4-quarter swap


Suppose that oil forward prices for 1 quarter, 2 quarters, 3 quarters, and 4 quarters are $21.00, $21.10, 20.80 and $20.50. The interest rate is 1.5% per quarter. Use commodity swap formula.

What is the per-barrel 4-quarter swap price?

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Financial Management: What is the per-barrel 4-quarter swap
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