please see attached screenshot of question about financial risk management

Problem 2: Forward prices and Stock Prices with no Dividend The current price of TSLA is $350. The APR is 7.2508%. TSLA is expected to pay a dividend one month from now. The value of such a dividend is $15. a. {9 F'?'-"P'C! What is the quarterly CCIR? What is the effect of a dividend payment on the stock price? Suppose that someone is willing to enter into a forward contract (either as a long or short side) and trade TSLA at $335 in 3 months from now. Eager to see whether there is a mispricing, Michael is thinking about doing the following strategy: i. Short TSLA today, and invest the proceeds in a bank. Invest vim/12 =1: 15 over one month and the rest over 3 months. Go long in a forward contract at $335. ii. One month from now, withdraw $15 from the bank account to pay the dividend to the owner of the stock. iii. In 3 months, buy through the forward contract TSLA and close the position. Compute Michael's payoff from the strategy. What is the price that makes Michael's payoff from the strategy equal to zero? Instead, suppose that someone is willing to enter a forward contract (long or short) and trade TSLA at $352 in 3 months from now. Michael, once again, believes there might be arbitrage opportunities and considers the following strategy: _7%_ i. Borrow $350 e 7%le * 15 at the current rate over three months and borrow e 12 * 15 at the current rate over one month. Use the loans to buy TSLA. Enter a 3-month short forward at $352. ii. In one month from now, receive the dividend payment and pay the one-month loan. iii. In three months from now, sell through the forward at $352. Repay the 3month loan. What is Michael's up-front cost of doing this? Does this qualify for an arbitrage strategy? Compute Michael's payoff from the strategy. What is the price that would make Michael's strategy zero? What is the forward price consistent with no arbitrage? In general, assume that So is the current price of TSLA and that TSLA pays a dividend D at time T1