a. A single stock futures contract on a non-dividend-paying stock with current price $150 has a maturity

Question:

a. A single stock futures contract on a non-dividend-paying stock with current price $150 has a of one year. If the T-bill rate is 3%, what should the futures price be?
b. What should the futures price be if the of the contract is three years?
c. What if the interest rate is 5% and the of the contract is three years?
Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...