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Basic Question 6 of 10

As the carry benefits increase, the forward price ______.

A. increases
B. decreases
C. may increase or decrease
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User Contributed Comments 1

User Comment
dbedford Think of benefits as payouts. So as the items pays out its value over time it's future value is decreased
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I used your notes and passed ... highly recommended!
Lauren

Lauren

Learning Outcome Statements

describe the carry forward model without underlying cashflows and with underlying cashflows;

CFA® 2025 Level II Curriculum, Volume 5, Module 31.