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per monthn. d) Suppose an investment asset has a spot price of K25 and it is due to pay a fixed dividend of K2 in
per monthn. d) Suppose an investment asset has a spot price of K25 and it is due to pay a fixed dividend of K2 in three months' time. The asset costs 1% per annum to store. Three- month (exactly 0.25 year) interest rates are 5.85% and six-month (0.5 year) interest rates are 6%. What is the fair six-month forward price for the asset? Input your (5 marks) answer to two decimal places
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