Suppose that the current value of a certain asset is 45000


Suppose that the current value of a certain asset is $45000. The annual effective rate of interest is 4.5%. You are offered a 2 year long forward contract at a forward price of $50000. How much would you need to be paid to enter into this contract?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: Suppose that the current value of a certain asset is 45000
Reference No:- TGS0628288

Expected delivery within 24 Hours