Question: Interest rates are 6.80% (with continuous compounding). At the start of the year, you entered into 100 short two year forward positions in Ziggurat

Interest rates are 6.80% (with continuous compounding). At the start of the

Interest rates are 6.80% (with continuous compounding). At the start of the year, you entered into 100 short two year forward positions in Ziggurat stock, at (forward) price $40.71. It is now 2 months later, and Ziggurat shares are trading at $31.74. Ziggurat does not pay dividends. What are your forward positions worth?

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