finance3616 in unsw

The following information is used for the next TWO questions. Assume that you have bought two Canadian dollar (CAD) futures contracts at the closing price on day i=0. Over the subsequent days, the futures price has evolved as shown in the following table. All values are the closing futures price for that day. Day Futures Price t=0 EURO.9399 / CAD t=1 EURO.9327 / CAD t=2 EURO.9370/CAD t=3 EURO.9407/ CAD 15:4 EURO.9435/CAD Each futures contract on the Canadian dollar has a size of CAD125,000, an initial margin of EUR2,000, and a maintenance margin of EURIAOO. In addition, assume that you never withdraw any excess funds from your margin account and always meet any required margin calls. Question I What is the prot (+) or loss () on your position over the period t=0 to t=4? a. +EUR900.00 b. +EUR/825.00 c. +EUR962.50 d. +EUR1,037.50 e. +EUR2,700.00 Question 2 What is the balance on your margin account at the end of day i=4? a. EUR3,350.00 b. EUR4,900.00 c. EUR6,337.50 d. EUR3,100.00 e. EURSJOODO