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QUESTION 1 Suppose the current price for cocoa for delivery in December is 52,067 perton. Each contract is for 10 tons. Initial Marin is $2500

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QUESTION 1 Suppose the current price for cocoa for delivery in December is 52,067 perton. Each contract is for 10 tons. Initial Marin is $2500 and maintenance margins 31500. On what day will SHORT side get a margin call it over the next 5 days, the futures price evolves as follows Day Futures Price 1 2 $2.013.00 $2.716.00 52.154.00 $2.165.00 52.176.00 5 a Day 5 b. Day 4 c. There will be no margin call d. Day 3

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