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Q-1 (pts) i. Suppose you as a speculator enter into one-month long futures contract on COMEX on 300 oz. of gold @ $1,860.00/oz. Spot (current)

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Q-1 (pts) i. Suppose you as a speculator enter into one-month long futures contract on COMEX on 300 oz. of gold @ $1,860.00/oz. Spot (current) price of gold is $1,815.00/oz. If the spot price at maturity (one-months from now) is 81,785.00/oz, what is your total profit/loss? If the spot price at maturity (one-months from now) is $1,928.00/=, what is your total profit/loss? I ii. Graph your profit/loss P/L function for the results in (1) Make sure you label the axis properly! Make sure you identify which variable is dependent and which variable is independent variable in your graph. [Denote the futures price by F and make sure you put your profit loss in part-i on the graph!)

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