Question
Consider the following sequence of prices for a currency futures contract. Each contact involves 10,000 units of the foreign currency. The initial and maintenance margin
Consider the following sequence of prices for a currency futures contract. Each contact involves 10,000 units of the foreign currency. The initial and maintenance margin requirements are USD 800 and USD 500, respectively. Assume that the position was entered at a price of 1.62 and that the futures contract is held to expiration, which is in day 6
DayFuturesPrice
11.65
21.66
31.64
41.63
51.61
61.60
Calculate the margin account balances on day 3 for the short.
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Microeconomics
Authors: Douglas Bernheim, Michael Whinston
2nd edition
73375853, 978-0073375854
