Question: Can anyone help me solve this problem? Thank you! Q7 You enter a contract such that at time t=T, you are obligated to sell the

Can anyone help me solve this problem? Thank you!

Can anyone help me solve this problem? Thank you! Q7 You enter

Q7 You enter a contract such that at time t=T, you are obligated to sell the underlying stock for a price of F. Assume that the contract is free to sign at t = 0. Denote by So the stock price at t= 0 and by r the continuously compounded interest rate. Use cash-and-carry to derive the formula for the fair value of F

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