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from seventh edition Financial markets and Institutions $100,000 X 108.375 = 108.375 100.000 X 108.375 = 108,375 6 $ 1.875 X 106.5 = 106,500 100,000

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from seventh edition Financial markets and Institutions

$100,000 X 108.375 = 108.375 100.000 X 108.375 = 108,375 6 $ 1.875 X 106.5 = 106,500 100,000 x 108.625 = 108.625 100,000 x 110.25 = 110.250 100,000 x 112.0625 = 112,062.5 $250 1.875 100,000 x 108.375 = 108,375 100.000 x 108.375 = 108,375 able to gin? W ance (a d. Suppos tion in tract in the in margi balan 3.687.5 4. Tree Row Bank wishes to take a position in Treasury bond futures contracts, which currently have a quote of 95-040. Tree Row thinks interest rates will go up over the period of investment. (LG 10-2) a. Should the bank go long or short on the futures contracts? b. Calculate the net profit to Tree Row Bank if the price of the futures contracts decreases to 94-280. c. Calculate the net profit to Tree Row Bank if the price of the futures contracts increases to 95-210. 7. You have mon sta IBM's is $5 pe a. Hov valu

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