Question
A dividend paying stock has a current price of $100 and a dividend yield of 4%. The current risk-free rate is 1%. Based on this
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A dividend paying stock has a current price of $100 and a dividend yield of 4%. The current risk-free rate is 1%. Based on this information, what is the price of a futures contract on this stock that expires in 2 years? Your final answer should be exact.
$22
$28
$32
$36
None of the other answers are correct
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The Routledge International Handbook Of Financialization
Authors: Philip Mader, Daniel Mertens, Natascha Van Der Zwan
1st Edition
1138308218, 978-1138308213
