Question
Answer the following question: Suppose that on day 1, a Japanese Yen future contract is purchased at the 118 per $ (opening price). Contract is
Answer the following question:
Suppose that on day 1, a Japanese Yen future contract is purchased at the 118 per $ (opening price). Contract is for $ 1,500. Initial margin level is 16,000, and maintenance level is 10,500. Forming a table show daily marking to market adjustments for this future contract using the given opening or settle prices
(ASSUMPTION: As margin account reaches above the initial margin level, withdraw the amount above the initial margin level)
Day Opening or Settle Price
1 Open 118/$
1 Settle 122/$
2 Settle 128/$
3 Settle 119/$
4 Settle 113/$
Please form a table.
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