Assume todays settlement price on a CME EUR futures contract is $1.3240/EUR. You have a long position in one contract.

1.)How do you Calculate the initial performance bond account balance?

2.)Assume that the next three days settlement prices are $1.3226, 1.3233, and 1.3249.

Calculate the changes in the performance bond account from daily marking-to-market and

the balance of the performance bond account after the third day.