Suppose you purchase a Treasury bond futures contract at a price of 95 percent of the face

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Suppose you purchase a Treasury bond futures contract at a price of 95 percent of the face value, $100,000. (LG 10-3)

a. What is your obligation when you purchase this futures contract?

b. Assume that the Treasury bond futures price falls to 94 percent. What is your loss or gain?

c. Assume that the Treasury bond futures price rises to 97.

What is your loss or gain?

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ISE Financial Markets And Institutions

ISBN: 9781265561437

8th International Edition

Authors: Anthony Saunders, Marcia Cornett, Otgo Erhemjamts

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Question Posted: Jul 25, 2024 08:05 AM

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Suppose you purchase a Treasury bond futures contract at a price of 95 percent of the face

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ISE Financial Markets And Institutions

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