Calculate the forward price of the stock for delivery

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Reference no: EM131938652

A stock is expected to pay the following dividends in 2015:

June 15, 2015: $0.820

September 15, 2015: $0.728

December 15, 2015: $1.112

The price of the security on May 1 2015 is $50.20. Assuming that interest rate is 1% annually, calculate the forward price of the stock for delivery / execution on December 30, 2015. Assuming: Day-Count convention of actual / 365, and simple compounding.

Reference no: EM131938652

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