a. On Dec. 4, 2018, the nearby S&P 500 contract closed at 2701.70. What was the total value represented by one S&P contract as of the day of that close?

b. If you think the S&P index is likely to go up in the near future, would you buy or sell an S&P futures contract?

c. Assume that in two weeks, the contract closes at 2800. What would be the dollar amount of your profit or loss, given the action you answered for part b? Explain how you arrived at your answer.

d. Currently, the initial margin requirement for an S&P futures contract is $30,000, and the maintenance margin requirement is $25,000. Given the profit you found in part c, calculate your percentage profit on the trade, given what you had invested (the initial margin requirement).

e. Assume now that the trade went in the opposite direction for that specified in part c. At what contract price would you have gotten a margin call? Explain. How much additional margin will you need to deposit in your account? Explain.