Question: Consider a stock priced at $150 and continuously compounded risk-free interest rate is 5%. A dividend will be paid every 6 months for the next

Consider a stock priced at $150 and continuously compounded risk-free interest rate is 5%. A dividend will be paid every 6 months for the next 6 years with the first dividend occurring 6 months from now. The first dividend is $2, and it will increase by 1% every 6 months. Find the forward price on this stock for 6 years.

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