3) Three months later, the price of the stock becomes $99 per share and the risk-free rate is 10% per annum with continuous compounding. What is the forward price now for a contract on the same stock with the same delivery date as the one that the trader has entered into? Answer: 104.075 4) Three months after the trader enters into the original forward contract, what is the value of the original contract to the trader now? (Based on the same information as in part 3), i.e., the stock price is now $99 and the risk-free rate is 1096). Answer: 37.1807