The risk-free rate with continuous compounding is 3 per


A short forward contract on a non-dividend paying stock was entered into some time ago. It currently has 11 months to maturity. The risk-free rate with continuous compounding is 3% per annum, the stock price is $30 and the delivery price is $28. Calculate the value of this short forward contract.

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Business Management: The risk-free rate with continuous compounding is 3 per
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