Question
The risk-free rate of interest is 5% per annum with continuous compounding. A stock is trading at $60. The stock pays dividend of $0.50 every
The risk-free rate of interest is 5% per annum with continuous compounding. A stock is trading at $60. The stock pays dividend of $0.50 every quarter. The next dividend will be paid after 1 month. What is the six-month futures price of the stock?
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Dark Finance
Authors: Fabio Mattioli
1st Edition
1503611655, 978-1503611658
