A short forward contract on a dividend-paying stock was entered some time ago.

It currently has 8 months to maturity.

The stock price and the delivery price is $22 and $24 respectively.

The risk-free interest rate with continuous compounding is 6% per annum.

The underlying stock is expected to pay a dividend of $1 per share in 2 months and an another dividend of $1 in 5 months.

What is the current forward price? What is the value of this short forward contract? What is the delivery price for this contract?

Group of answer choices:

The current forward price is -20,85; the value of this short forward contract is 3,02; the delivery price for this contract is 24.

The current forward price is 20,85; the value of this short forward contract is 3,02; the delivery price for this contract is 24.

The current forward price is 20,85; the value of this short forward contract is - 3,02; the delivery price for this contract is 20.85.

The current forward price is 22,85; the value of this short forward contract is - 2,02; the delivery price for this contract is 24.

The current forward price is 22,85; the value of this short forward contract is 2,02; the delivery price for this contract is 22,8.

The current forward price is 22,85; the value of this short forward contract is 2,02; the delivery price for this contract is 24.