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A bank wishes to take a position in Treasury bond futures contracts, which currently have a quote of 104-180. The bank thinks interest rates will

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A bank wishes to take a position in Treasury bond futures contracts, which currently have a quote of 104-180. The bank thinks interest rates will go down over the period of investment. The face value of the bond underlying the futures contract is $100,000. Calculate the net profit to the bank if the price of the futures contracts decreases to 103-220 -$825.00 -5875.00 $875.00 $825.00

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