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A one-year long forward contract on a non-dividend-paying stock is entered into when the stock price is $60 and the risk-free rate of interest is

  1. A one-year long forward contract on a non-dividend-paying stock is entered into when the stock price is $60 and the risk-free rate of interest is 12% per annum with continuous compounding.
    1. What are the forward price and the initial value of the forward contract?
    2. Six months later, the price of the stock is $63 and the risk-free interest rate is still 12% per annum. What are the forward price and the value of the forward contract?

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