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Assume that yesterday you sold 2 contracts of wheat futures (10,000 bushels) at $7.00 per bushel. Initial margin is $2,000 per contract. Maintenance margin is
Assume that yesterday you sold 2 contracts of wheat futures (10,000 bushels) at $7.00 per bushel. Initial margin is $2,000 per contract. Maintenance margin is $1,500 per contract. Today the market decreased by 20 cents per bushel. Will you have a margin call, and how much money must you add to your account?
Group of answer choices
a) Margin call! I must add $4,000 to the account
b) Margin call! I must add $1,000 to the account
c) Margin call! I must add $2,000 to the account
d) No margin call and no additional funds needed
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