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A 1-year long forward contract on a non-dividend-paying stock is entered into when the stock price is $35 and the risk-free rate of interest is

image text in transcribed A 1-year long forward contract on a non-dividend-paying stock is entered into when the stock price is $35 and the risk-free rate of interest is 6% per annum with continuous compounding. (a) What is the forward price when the 1-year forward contract is initiated? Enter your answer in dollars and to 2 decimal places. For part (b) and (c) assume that 6 MONTHS have passed and that the price of the stock is trading at $38. The risk-free interest rate is unchanged. (b) What is the forward price of the same contract at this time? Enter your answer in dollars and to 2 decimal places. (c) What is the value of the forward contract at this time? Enter your answer in dollars and to 2 decimal places

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