Question
A stock is trading at $54.37. The dividend yield of the stock is 3.36%. Assuming that the risk-free interest rate is 2.64% (annually compounding), Calculate
A stock is trading at $54.37. The dividend yield of the stock is 3.36%. Assuming that the risk-free interest rate is 2.64% (annually compounding), Calculate the 17-month theoretical forward price of the stock (to the nearest cents).
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Financial management theory and practice
Authors: Eugene F. Brigham and Michael C. Ehrhardt
12th Edition
978-0030243998, 30243998, 324422695, 978-0324422696
