8.

Consider a single stock futures contract on the stock of Brandex, a company that currently pays no dividends.

Each contract calls for delivery of 1,000 shares of stock in one year. The one-year T-bill rate is 4.00%.

If the Brandex stock price dropped from $115.00 by 4.00%,

What will be the new futures price?

Enter your answer in the following format: 123.45

Hint: Answer is between 102.19 and 128.59

____________?

11.

Suppose the S&P 500 stock index is currently trading at $1,900.

If the 1-year T-Bill rate is 1.00% and the expected dividend yield on the index is 2.00%,

What should be the index futures price with 1-year maturity?

Enter your answer in the following format: 1,234.56

Hint: Answer is between 1,692.90 and 2,106.72