WebCab Options and Futures for COM v3.1

FuturesOnCommodities.ConsumptionCommodityWithExplicitTime Method 

Returns the upper bound of the value for a futures contact on an consumption commodity when the present value of the storage cost are known.

public double ConsumptionCommodityWithExplicitTime(
   double commodityPrice,
   double storageCosts,
   double riskFree,
   double timeToExpiry
);

Parameters

commodityPrice
The price of the underlying commodity.
storageCosts
The present value of the storage costs of the commodity during the life of the futures contract.
riskFree
Continuously compounded risk free interest rate given in decimal format (i.e. 1 percent = 0.01).
timeToExpiry
The time period (in years) until the future contract expires.

Return Value

The upper bounds on the value of the futures contract.

See Also

FuturesOnCommodities Class | WebCab.COM.Finance.Futures Namespace