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Dividend yield on Index is 6p.a. But INDEX with 4mth maturity is given in question. While calculating price of Future Dividend has been calculated month wise for 4month. My Query is whether Dividend is also to be calculated month wise as a interest?? But in some questions it is solved as p.a basis even though month is mentioned. Question From pm Derivative
Replies (1)
dividend will b adjusted for 6%x4/12
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