Question
15 .(2 points). Todays settlement price on a Chicago Mercantile Exchange (CME) Yen futures contract is $0.8011/100. Your margin account currently has a balance of
15.(2 points). Todays settlement price on a Chicago Mercantile Exchange (CME) Yen futures contract is $0.8011/100. Your margin account currently has a balance of $2,000. The next three days settlement prices are $0.8057/100, $0.7996/100, and $0.7985/100. (The contractual size of one CME Yen contract is 12,500,000).
If you have a long position in one futures contract, the changes in the margin account from daily marking-to-market, will result in the balance of the margin account after the third day to be:
A) $1,425
B) $1,475
C) $2,000
D) $3,425
E) None of the above.
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