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Consider a single stock futures contract on the stock of Brandex, a company that currently pays no dividends. Each contract calls for delivery of 1,000
Consider a single stock futures contract on the stock of Brandex, a company that currently pays no dividends. Each contract calls for delivery of 1,000 shares of stock in one year. The one-year T-bill rate is 4.00%. If the Brandex stock price dropped from $115.00 by 4.00%, How much is the profit (or loss) for the Futures investor? Enter your answer in the following format: + or 1234.56 Hint: Answer is between 4,209.92 and 5,262.40 Consider a single stock futures contract on the stock of Brandex, a company that currently pays no dividends. Each contract calls for delivery of 1,000 shares of stock in one year. The one-year T-bill rate is 4.00%. If the Brandex stock price dropped from $115.00 by 4.00%, What will be the new futures price? Enter your answer in the following format: 123.45 Hint: Answer is between 102.19 and 128.59
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