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Calculate the forward price

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The current spot price of a non-dividend paying stock is $65, while the simple interest rate is 4.50 percent per year. Consider a forward contract written on this stock with a maturity of 90 days.

a) Calculate the forward price.

b) What is the value of the contract?

c) General Electric wants a 90-day forward contract with the delivery price set at $60. What is the value of this contract?

Reference no: EM132376851

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