FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

An investor enters into a short position in 15 oil futures contracts at a futures price of $ 90.3 per barrel and closes out the

An investor enters into a short position in 15 oil futures contracts at a futures price of $ 90.3 per barrel and closes out the position at a price of $ 92.5 per barrel. If one oil futures contract is for 1,000 barrels, what are the investor's gains or losses?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting A Business Perspective

Accounting A Business Perspective

Authors: Roger H. Hermanson, James Don Edwards, Michael W. Maher

7th Edition

0075615851, 978-0075615859

More Books

Students also viewed these Accounting questions

Question

★★★★★
For the pipe assembly of Prob. 4.104, determine (a) The largest permissible value of a if the assembly is not to tip, (b) The corresponding tension in each wire. Problem 4.104: Two steel pipes AB and...

Answered: 1 week ago

Question

★★★★★
Long Bank has assets that consist mostly of 30-year mortgages and liabilities that are short-term demand and time deposits. Will an interest rate futures contract the bank buys add to or subtract...

Answered: 1 week ago

Question

★★★★★
Did the evaluation stimulate action? How did the research process and outcomes enhance social justice and human rights?

Answered: 1 week ago

Question

★★★★★
Identify each of the following reconciling items as: (a) An addition to the cash balance according to the bank statement, (b) A deduction from the cash balance according to the bank statement, (c) An...

Answered: 1 week ago

Question

★★★★★
Q2. On 1 January 2018, Bad Ltd acquired all the assets and liabilities of Wolf Ltd. Wolf Ltd has a number of operating divisions, including one whose major industry is the manufacture of toy trains,...

Answered: 1 week ago

Question

★★★★★
Summarise on UK's characteristics of an unwritten constitution Its unwritten Is flexible in nature Is formally unitary in structure, but with powers devolved to Wales, Scotland and Northern Ireland...

Answered: 1 week ago

Question

★★★★★
At another local coffee shop, wait times for a cup of plain coffee are normally distributed with a mean of $125 seconds and a standard deviation of 22 seconds. What percentage of wait times for a cup...

Answered: 1 week ago

Question

★★★★★
Luisa treats rice and wheat as perfect complements and spends all her food budget of $24/wk on these foodstuffs. If rice costs $3/lb, draw Luisa's price-consumption curve for wheat. Instructions: 1....

Answered: 1 week ago

Question

★★★★★
QUESTION 7 Graph 10-3 P Social Cost P Supply (Private Cost) P Demand Q1 Q This graph reflects the market for kiwifruit, where pesticide used by kiwifruit orchardists also unintentionally kills honey...

Answered: 1 week ago

Question

★★★★★
Sky Castle Manufacturing Company has two service departments, human resources and office services. It also has two production departments, assembly and finishing. The following information is made...

Answered: 1 week ago

Question

★★★★★
1. Do you think that a company should primarily be valued relative to the global industry to which it belongs, or to other national companies listed in its domestic home market? 2. Describe indexes...

Answered: 1 week ago

Question

★★★★★
4.75 Consider the joint probability distribution: X 1 2 Y 0 0.0 0.60 1 0.40 0.0 a. Compute the marginal probability distributions for X and Y. b. Compute the covariance and correlation for X and Y....

Answered: 1 week ago

Question

★★★★★
4.73 Consider the joint probability distribution: X 1 2 Y 0 0.30 0.20 1 0.25 0.25 a. Compute the marginal probability distributions for X and Y. b. Compute the covariance and correlation for X and Y....

Answered: 1 week ago

Question

★★★★★
4.76 Consider the joint probability distribution: X 1 2 Y 0 0.70 0.0 1 0.0 0.30 a. Compute the marginal probability distributions for X and Y. b. Compute the covariance and correlation for X and Y....

Answered: 1 week ago

Previous Question Next Question