1. (8 marks) Suppose you are a speculator and have previously taken a short position for April 2021 feeder cattle at a price of $124.5. The price of this contract is currently $126.25, and you decide to close your position. What do you do to close your position, and what is the change in the total value of your position?

*Each feeder cattle contract is for 50,000 lbs, and the price of each contract for feeder cattle is written per hundredweight (100 lbs).