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McDonalds is a stock that pays dividends. Suppose the current price of McDonalds is $30 and the risk-free rate for all maturities is 10% with

McDonalds is a stock that pays dividends. Suppose the current price of McDonalds is $30 and the risk-free rate for all maturities is 10% with continuous compounding. McDonalds will pay a dividend of $2 at the end of the first year and also at the end of the second year. It will NOT pay a dividend at the end of the third year. What is the three-year forward price for McDonalds?

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