finance-You have gold colored goods: corn

You have gold colored goods: corn. Assume constant monthly storage costs of C and no interest. Suppose prices now are L (low) and will be H>L (high) next month with probability p. Keep in mind that a fraction of your corn decays every month you store it ( So storing corn three months will get you either Delta raised to 3rd power(H), or Delta raised to 3rd power(L)) When is the best time to sell your corn?

 

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