What is the forward price today

Reference no: EM133369033

Question: A non-dividend-paying stock is currently worth $64. A forward contract on the stock expires in 0.9 years. The T-bill rate is 7% (continuously compounded) for all maturities.

What is the forward price today? 0.1 years later, the stock has fallen to $56.81. What is the value of the forward contract to the short?

Reference no: EM133369033

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