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3. The spot price of a stock is so = 10$; the stock pays two dividends of 1$ each at ti = 6 months and

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3. The spot price of a stock is so = 10$; the stock pays two dividends of 1$ each at ti = 6 months and t2 = 18 months. The risk free annual rate is r = ln(1.05). (a) What is the forward price agreed upon at t = 0 for delivery of the stock at T = 2 years

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