Boring Unreliable Gadget Inc.s stock price S is $50 today. It pays dividends of $1 after two

Question:

Boring Unreliable Gadget Inc.’s stock price S is $50 today. It pays dividends of $1 after two months and $1.05 after five months. If the continuously compounded interest rate is 4 percent per year, what is the forward price of a six- month forward contract on BUG?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: