Company As stock will pay a dividend of $5 in three months and $6 in six months.

Question:

Company A’s stock will pay a of $5 in three months and $6 in six months. The current stock price is $200, and the risk-free rate of interest is 7% per year with monthly for all maturities. What is the fair forward price for a seven-month forward contract?
Compounding
Compounding is the process in which an asset's earnings, from either capital gains or interest, are reinvested to generate additional earnings over time. This growth, calculated using exponential functions, occurs because the investment will... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...