Answered step by step
Verified Expert Solution
Question
1 Approved Answer
9. Your futures account had equity of $20,000.00 at the start. Given the following positions, what is the account's CURRENT equity balance? The current
9. Your futures account had equity of $20,000.00 at the start. Given the following positions, what is the account's CURRENT equity balance? The current equity balance is $23,852.80 POSITIONS QTY Cost Price Initial Equity Sep Wheat 5 572'0 559'2 $6,875.00 Dec Gold 1 $1,554.70 $1,666.50 $5,500.00 Dec Cocoa 2 $2,526.00 $2,756.00 $4,180.00 Cash $3,445.00 TOTAL $20,000.00 10. Note the following contract specifications: CONTRACT UNIT Wheat 5,000 bu QUOTE UNITS c/bushel INITIAL MAINT TIC SIZE MOS. MGN MGN Mar, May, Jul, $0.01 $1,375 $1,250 Sep, Dec Gold 1,000 troy oz $1.00/troy oz $0.10 Feb-Apr, Jun, $5,500 $5,000 Aug, Dec Mar, May, Jul, 10 m tons $/ton $1.00 $2,090 $1,900 Sep, Dec Assuming the initial equity and contract positions from the previous problem, what would the account value be if EACH position DECLINED 2.5% (round price to the nearest tic)?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started