Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Bank of New York Mellon Corporation as a clearing house member is currently long 140 contracts, and the settlement price is $48,000 per contract. The
Bank of New York Mellon Corporation as a clearing house member is currently long 140 contracts, and the settlement price is $48,000 per contract. The original margin is $3,000 per contract. On the following day the member becomes responsible for clearing an additional 13 short contracts, entered at a price of $44.000 per contract. The settlement price at the end of this day is $38,400. How much does the member have to add to its margin account with the exchange clearing house? $39.000 $1,455,800 $1,310,200 $1,416,800
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started