Question
A company enters into a short futures contract to sell 1,000 units of a commodity for $60 per unit. The initial margin is $6,000 and
A company enters into a short futures contract to sell 1,000 units of a commodity for $60 per unit. The initial margin is $6,000 and the maintenance margin is $4,500. If future price rise to $62 in next day, what’s the variation margin?
| A. | $0 | |
| B. | $500 | |
| C. | $1500 | |
| D. | $2000 |
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Vector Mechanics for Engineers Statics and Dynamics
Authors: Ferdinand Beer, E. Russell Johnston Jr., David Mazurek, Phillip Cornwell, Brian Self
11th edition
73398241, 978-0073398242
