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Consider a 10-month forward contract on an investment with yield income. The annual income yield is 2% and the risk-free rate of interest is 4%
Consider a 10-month forward contract on an investment with yield income. The annual income yield is 2% and the risk-free rate of interest is 4% per year. Assume that the asset price of the investment asset is $18. Calculate the current price of the forward contract.
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