Question
On Monday morning, you short one CME yen futures contract containing 12,500,000 at a price of $0.009433. Suppose the broker requires an initial performance bond
On Monday morning, you short one CME yen futures contract containing 12,500,000 at a price of $0.009433.
Suppose the broker requires an initial performance bond of $4,000 and a maintenance performance bond of $3,400.
The settlement prices for Monday through Thursday are $0.009542, $0.009581, $0.009375, and $0.009369, respectively.
On Friday, you close out the contract at a price of $0.009394.
Assume that you begin with an initial balance of $4,590 and that your round-trip commission was $27.
Whats your profit after paying commissions?
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Practical Financial Management
Authors: William R. Lasher
7th edition
128560721X, 9781133593669, 1133593682, 9781285607214, 978-1133593683
