Question
Suppose that the three-month forward price of MKN, which will pay a quarterly dividend of $2 in one month, is $105. One- and three-month zero-coupon
Suppose that the three-month forward price of MKN, which will pay a quarterly dividend of $2 in one month, is $105. One- and three-month zero-coupon bonds are trading at 0.99 and 0.97, respectively. What is the value of the long side of a three-month forward contract with a delivery price of 100?
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Issues In Finance And Monetary Policy
Authors: J. McCombie ,C. RodrĂguez González
1st Edition
0230007988,0230801498
