Solution-What should the futures price be

What should the futures price be

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Reference no: EM132945408

Question - a. A single-stock futures contract on a non-dividend-paying stock with current price $210 has a maturity of 1 year. If the T-bill rate is 2%, what should the futures price be?

b. What should the futures price be if the maturity of the contract is 7 years?

c. What should the futures price be if the interest rate is 4% and the maturity of the contract is 7 years?

Reference no: EM132945408

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What should the futures price be

Reference no: EM132945408

Reference no: EM132945408

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