The price of Netflix (NFLX) today is $350 per share. NFLX hascommitted to make a $10 dividend payment in two years. There are noother dividends. The two-year forward price of NFLX is $365. Assumethere is no arbitrage. What is the c.c. risk-free interest rate?(Give answer in decimal form; Round to Three decimal places)

Answer rating: 100% (QA)

Answer I Forward Price Spot Price ert Dividend after 2 years 365 350 er2 10 365 350 er... View the full answer