Logo
Home Study Material Contact Search
AI Chat FREE
  1. mathematics
  2. basic math
  3. the s&p500 index is currently valued at 2755.

The S&P500 index is currently valued at 2755. What should be the price (FO) on...

50.1K

Verified Solution

Question

Basic Math

image

The S&P500 index is currently valued at 2755. What should be the price (FO) on the futures contract expiring 14 MONTHS from now if the S&P500 has a dividend yield of 1.50%, the rf is 2.25%, and the S&P500 has an expected return of 15.00%? Assume the risk-free rate and yields are annualized, and there are 12 MONTHS per year.2,741.192,763.832,779.122,729.102,751.05

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

a) What is brain asymmetry/lateralization? b)what is importance of brain asymmetry/lateralization for higher cortical functions? please check plagiarism

Medical Sciences
Q

Mycobacterium O is revealed by the spore stain O is insensitive to lysozyme O is...

Biology
Q

9 Which statements are correct about the function f x 29 The function has no...

Basic Math
Q

Researchers enrolled a group of 10,892 middle-aged adults and studied them over a period of...

Basic Math
Q

Simplify the expression 3y 3 23 Simplify your answer Tvne your answer using exponen

Algebra
Q

1 3 Long Division Divide 1 a 11a 13a 27 a 10 6 A a...

Algebra
Q

mitchell inc. issued 180 of its 6%, $1,000 bonds on january 1 of year 1....

Accounting
Q

Higher Ltd. purchased a large piece of earth-moving equipment for $5,550,000. The vehicle had six...

Accounting
Q

Required information [The following information applies to the questions displayed below.] On January 1, 2021,...

Accounting
Q

@@ answer this question for interview 1. What skills and attributes do you have...

Accounting
Q

I:5-67 Tax Form/Return Preparation Problems (Ch. 5) Spence Duck (SSN XXX-XX-XXXX) is single and his...

Accounting
Q

On January 1,2020, Novak Corporation issued $5,180,000 of 10% bonds at 102 due December 31,2029....

Accounting