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3.4. Assume that the interest rate r = 4% (continuously compounded) is con- stant. If today's stock price is 9.14, what will be tomorrow's stock

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3.4. Assume that the interest rate r = 4% (continuously compounded) is con- stant. If today's stock price is 9.14, what will be tomorrow's stock price such that the marking-to-market for a long position in futures with deliv- ery in 3 months is 0.54? State any formulae used. (15 marks)

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