Question
2. I am selling my Subaru forester in two years. The current spot price for a used forester is $23,000. The cost for keeping the
2. I am selling my Subaru forester in two years. The current spot price for a used forester is $23,000. The cost for keeping the car is about $3,000 (gas, insurance, maintenance and so on) per year. Then what should the fair forward price be, if the risk-free rate is 2%?
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International Financial Management
Authors: Cheol S. Eun, Bruce G.Resnick
6th Edition
71316973, 978-0071316972, 78034655, 978-0078034657
