The following information is available about the ABC stock:
The current value of the stock is 38.
The stock pays semi-annual dividends of 0.95 per share, with the next dividend to be paid within 4 months.
The continuous risk-free interest rate is 3%.
Calculate the two-year forward price of ABC stock.
a) 34.37
b) 35.77
c) 36.44
d) 37.23
e) 37.92