1.You decide that, given your love of bacon, you want to start profiting from it.You discover that you can trade in "lean hogs" futures.You find that these futures trade on the Chicago Mercantile Exchange (CME).Information on lean hogs futures contracts is at the following website:

https://www.cmegroup.com/markets/agriculture/livestock/lean-hogs.html

Click on the links underneath the "Lean Hogs Futures" text to find information on quotes, contract specifications, and margins (you'll need to search under the CME and Agricultural filters to find the margins for this contract).

a)You enter your position on Monday at the closing price of 82.00.You enter into 5 contracts.You invest the minimum amount of funds for the initial performance margin.You do not withdraw any increases to your margin account.The following week has the following futures price changes:

Date

Closing price

Tuesday

82.59

Wednesday

83.41

Thursday

81.21

Friday

80.31

Calculate the daily amount in your margin account (after daily gains/losses), and any subsequent margin calls that you might have to make.

b)You reverse your position on Friday at the closing price. What was your gain/loss from the position?