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Elliott Company sold one T-Bill futures contract when the quoted price was 101.25. When the position was closed out, the price of the T-Bill futures
- Elliott Company sold one T-Bill futures contract when the quoted price was 101.25. When the position was closed out, the price of the T-Bill futures contract was 99.12.
A. Did interest rates increase or decrease? How do you know?
B. What was Elliotts profit or loss from this contract (ignoring transaction costs)?
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Case Studies in Finance Managing for Corporate Value Creation
Authors: Robert F. Bruner, Kenneth Eades, Michael Schill
7th edition
007786171X, 77861711, 978-0077861711
