What is the value of your contract

Reference no: EM132182372

Question - Suppose you buy a one year forward contract at $50. Four months later, new forward contracts are selling for $55. The risk-free rate is seven percent (annual). What is the value of your contract?

$4.48

$4.59

$4.69

$4.73

$4.78

Reference no: EM132182372

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