Question

Suppose the stock price is $35 and the continuously compounded interest rate is 5%.
a. What is the 6-month forward price, assuming dividends are zero?
b. If the 6-month forward price is $35.50, what is the annualized forward premium?
c. If the forward price is $35.50, what is the annualized continuous dividend yield?


$1.99
Sales0
Views81
Comments0
  • CreatedAugust 12, 2015
  • Files Included
Post your question
5000