Question
An investor speculates that the exchange between the dollar and pound will be $1.42/Eu in august and he trades August expiration futures contract with a
An investor speculates that the exchange between the dollar and pound will be $1.42/Eu in august and he trades August expiration futures contract with a settlement price of 1.24$/eu.
calculate his profit given that the contract size is Eu62500 and his speculation came true.
a.3750
b.7500
c.10000
d.11250
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Managerial Economics and Strategy
Authors: Jeffrey M. Perloff, James A. Brander
2nd edition
134167879, 134167872, 9780134168319 , 978-0134167879
