Hikoru Sulu and Nyota Uhura are tired of being bossed around by their egomaniac captain. Therefore, they are studying together for the CFA Level 1 in hopes of eventually transferring to the Finance Department within the United Federation of Planets (UFP).They were unable to answer the following questions. Can you help them out?

a.The IF500 stock index pays no dividends. The continuously compounded risk free rate is 5%. The spot price of the index is 2,016.00.What is the 18-month forward price of the IF500 stock index?

b. The RP3000 stock index has a current price of 1,898.60. The two-year forward price of the index is 2,016.00. The continuously compounded risk-free rate is 5%. The stock index pays dividends continuously at a rate of per year.Determine .