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Assume that one year ago, the spot rate of the British pound was $2.00. One year ago, the one-year futures contract of the British pound

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Assume that one year ago, the spot rate of the British pound was $2.00. One year ago, the one-year futures contract of the British pound exhibited a discount of 2%. At that time, you sold futures contracts on pounds, representing a total of 1 million pounds. From one year ago to today, the pound's value depreciated against the dollar by 5%. Determine the total dollar amount of your profit or loss from your futures contract. (negative number indicates a loss) O -100000 O-20000 -60000 20000 60000 40000 80000 100000 -80000 -40000

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