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please as mych help as i can get A.2) Today, an investor takes a long position in a six-month forward contract on Aviva stock. Aviva

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A.2) Today, an investor takes a long position in a six-month forward contract on Aviva stock. Aviva stock price currently is 70. Aviva is expected to pay a dividend of 2 per share in two months and in five months. The annual risk-free interest rate is 5%, with continuous compounding for all maturities, 1. What are the forward price and the initial value of the forward contract? (5%) il. Three months later, Aviva stock's price is 50, and the risk-free interest rate remains unchanged. What are the forward price and the value of the long position in the forward contract? (5%) Send a Chat

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