Question 19 (4 points) The annualized continuous dividend yield on the S&P 500 Index is 1.40%. The continuously compounded annual interest rate is 6.4%. If the 4-month forward price is $945.28 and the index is priced at $910, what is the profit/loss from a cash-and- carry strategy? $35.28 loss $35.28 gain $19.98 loss $19.98 gain Question 20 (4 points) HAW. Inc. plans to pay a $1.10 dividend per share in 3 months and a $1.15 dividend in 6 months. HAW's share price today is $45.60 and the continuously compounded quarterly interest rate is 2.1%. What is the price of a prepaid forward contract, which expires immediately after the second dividend? (Hint: Prepaid Forward Price with Discrete Dividends.) $43.42 $43.72 $44.06 $44.34