It currently has 10 months to maturity. the riskshyfree, Ask an Expert

Finance

A short forward contract on a nondividendpaying stock was entered into some time ago. It currently has 10 months to maturity. The riskfree rate with continuous compounding is 4% per annum, the stock price is $25 and the delivery price is $24. find out the value of this short forward contract.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M938437

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