Question
a long forward contract that was negotiated some time ago will expire in three month and has a delivery price of 97.00. the spot price
a long forward contract that was negotiated some time ago will expire in three month and has a delivery price of 97.00. the spot price of the underlying asset is 104.32 while its current three month forward price is 106.43. the three month risk free interest rate with continuous compounding is 8%. what to the nearest cent, is the value of the long forward contract?
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Project Finance In Theory And Practice
Authors: Stefano Gatti
3rd Edition
0128114010, 978-0128114018
