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The current market quotation of a share is 36 PLN. The share is expected to pay a dividend at the continuous rate of 3%. The
The current market quotation of a share is 36 PLN. The share is expected to pay a dividend at the continuous rate of 3%. The risk free rate on this market is 5%. is it possible to have gain on arbitrage on 6 months future contracts on this share if the current price of the 6 months the future contract on this share is 36.72 PLN. If yes, how much if the contract is for 100 unit of underlying. Round the calculations to 2 decimal digits.
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