A. If you buy a K100, 000 June 2020 Treasury bond contract for K120,000 and the price of the Treasury bond at the expiration date is K130,000. What is your profit or loss on your contract? [10 Marks] B. Suppose the pension fund you are managing is expecting an inflow of K100,000 next year and you want to make sure that you earn the current interest rate of 20% when you invest the incoming funds. How would you use the futures market to do this? [5 Marks] C. How does an increase in interest rates affect the value of a call option and a put option? [5 Marks]