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You should upload an Excel spreadsheet (or handwritten answers). Please ensure that it is well-organized and formatted in a way that makes your answers clear.
You should upload an Excel spreadsheet (or handwritten answers). Please ensure that it is well-organized and formatted in a way that makes your answers clear. 1. (5 points) A stock has a price of $50. The continuously compounded risk-free interest rate is 8%. The stock is going to pay a dividend of $0.50 after 1 month and another dividend of $1 after 5 months. What is the appropriate forward price for a 6-month forward contract?
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