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Suppose that the risk - free interest rate is 8 % per annum with continuous compounding and that the dividend yield on a stock index
Suppose that the riskfree interest rate is per annum with continuous compounding and that the dividend yield on a stock index is per annum with continuous compounding. The index is standing at and the futures price for a contract deliverable in months is
Question # What should be the theoretical futures price for the stock index
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