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Consider a futures contract in which the current futures price is Sh.100. The initial margin requirement is Sh.5, and the maintenance margin requirement is Sh.3.

Consider a futures contract in which the current futures price is Sh.100. The initial margin requirement is Sh.5, and the maintenance margin requirement is Sh.3. You go short 10 contracts and meet all margin calls but do not withdraw any excess margin. Assume that on the first day, the contract is established at the contract price, so there is no mark-to-market gain or loss on that day. The futures prices on day 1 to 6 were Sh 99.2, 96, 101, 103.5, 103 and 104 respectively. Required Determine the gain/loss at the end of each day. What price level would trigger a margin call

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