Suppose that the current value of the S&P 500 stock index is USD 2500. Assume that the nine-month rates of interest in USD and Euro are respectively 2% and 0.5% per annum on a continuously compounded basis, and that the S&P 500 index pays a continuous dividend rate of 1.5% per annum. Finally, the spot exchange rate is USD1.15 per Euro.

Compute the forward price of the S&P 500 in USD for delivery in nine months.

Compute the forward price (exchange rate) of USD in Euro for delivery in nine months.

Compute the forward price of the S&P 500 in Euro for delivery in nine months. Derive this value two different ways.