Suppose that you buy a call option on a $100,000 Treasury bond futures contract with an exercise

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Suppose that you buy a call option on a $100,000 Treasury bond futures contract with an exercise price of 110 for a premium of $1,500. If on expiration the futures contract has a price of 111, what is your profit or loss on the contract?

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Financial Markets and Institutions

ISBN: 978-0133423624

8th edition

Authors: Frederic S. Mishkin, Stanley G. Eakins

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Question Posted: May 23, 2018 01:53 AM

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Suppose that you buy a call option on a $100,000 Treasury bond futures contract with an exercise

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You have a profit of 1 point 100...View the full answer

Financial Markets and Institutions

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