A stock has declared quarterly dividends of $0.5 to be paid in 3, 6, and 9...

A stock has declared quarterly dividends of $0.5 to be paid in 3, 6, and 9 months. The current stock price is $60. The risk-free interest rate is 12% (APR compounded quarterly). What is the fair forward price for a 9 month forward contract on the stock?

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jeff jeffy answered 2 years ago

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