The Cost of Carry Includes the Interest Lost on the Funds

question 32

True/False

The cost of carry includes the interest lost on the funds tied up in the asset stored.

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Definitions:

Compressed

The state of being pressed into less space or condensed under pressure.

New Pressure

A term referring to the stress or urgency of a situation, or in a scientific context, the change in the force exerted by a fluid per unit area.

Expanded

Increased in volume or size, often by the introduction of air or in response to heat.

New Pressure

An unspecified or novel force applied uniformly over a surface, measured typically in units such as pascals.