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On Monday morning you sell one June T-bond futures contract at $97,843.75. The contract's face value is $100,000. The initial margin requirement is $2,700, and
On Monday morning you sell one June T-bond futures contract at $97,843.75. The contract's face value is $100,000. The initial margin requirement is $2,700, and the maintenance margin requirement is $2,000 per contract. Use the following price data to answer the following questions. Day Settlement price Monday $97,406.25 Tuesday $98,000.00 Wednesday $100,000.00 At the close of day on Tuesday your cumulative rate of return on your investment is __________.
A) 16.21%
B) 5.79%
C) 5.79%
D) 16.21%
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