Portfolio Analysis

2. An investor shorts one S&P500 future contract at 3,365.25, that same day the contract settles at 3,366.50 and in the next three days is settles at 3,357.00, 3,354.50 and 3,361.00. With an initial margin of $22,5000 and maintenance margin of $20,000; The S&P500 contract multiple is $250. Show the investors four days of marking to market cash flow and margin level and profit after four days