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Mars traders have negotiated a forward contract to buy poultry in 90 days' time from Lamu farmers. The locked price has been set at Ksh

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Mars traders have negotiated a forward contract to buy poultry in 90 days' time from Lamu farmers. The locked price has been set at Ksh 500 per piece. 1,000 chicken will be delivered per the contract terms Details of the contract when the underlying assets are delivered are presented below Locked price 90 days prices Amount of loss or gain Comment in orator In Ksh in Ksh when 1,000 out of the money proces delivered kih 300 325 Ksh 500 613 Kch 300 423 Ksh 500 Ksh 300 280 Ksh 500 450 Kch 500 580 kih 500 509 Ksh 300 398 sli 300 300 540 Required Draw and fill the diagram appropriately (10 Marks)

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