Question
Consider a forward contract which allows you to buy/sell a non-dividend paying stock in three months. Assume the current stock price is $40 and the
Consider a forward contract which allows you to buy/sell a non-dividend paying stock in three months. Assume the current stock price is $40 and the three-month risk free interest is 5% per year. What should be the forward price?
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Multinational financial management
Authors: Alan c. Shapiro
10th edition
9781118801161, 1118572386, 1118801164, 978-1118572382
