| Suppose today is March 27, 2018, and your firm produces breakfast cereal and needs 170,000 bushels of corn in July 2018 for an upcoming promotion. You would like to lock in your costs today because you are concerned that corn prices might go up between now and July. Use Table 25.2 
|
Suppose today is March 27, 2018, and your firm produces breakfast cereal and needs 170,000 bushels of corn in July 2018 for an upcoming promotion. You would like to lock in your costs today because you are concerned that corn prices might go up between now and July. Use Table 25.2 a. What is the total price are you locking in for the 170,000 bushels of corn based on the day's closing price? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) b. Suppose corn prices are $4.28 per bushel in July. What is the profit or loss on your futures position? (Enter your answer as a positive value. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) a. Total cost b. Profit May Futures Contracts Metal & Petroleum Futures Contract Open Open High Nilo Low Settle che interest Copper-High (CMO) 25.000 lbs.Sperib March 2.9760 2.9775 29760 2.9915 0.0310 302 May 2.9940 3.0240 2.9775 3.0005 0.0305 150,761 Gold (CMO-100 troy oz.Sper troyez March 1341.30 -13.10 475 April 1353.60 1356.80 1339.60 1342.00 -13.00 108,630 June 1359.30 136260 1345.40 1347.90 -13.00 327,650 Aug 1365.80 1368.20 135L90 1354.10 -13.00 49,357 Oct 1371.00 1372.00 1359.00 1360.10 -13.00 6,801 Dec 1376.80 1380.90 1364.20 1366.60 -13.10 45.274 Palladium NYM)- 50 troy oz. Spertroyez March 975.30 495 1 June 970.80 978.65 966.60 971.80 495 22,978 Sept 97.10 968.10 965.00 966.65 495 1,193 Platinum NYME-50 troy or: Sper troy az April 952.80 961.60 939.20 946,70-370 12,588 July 958.50 96740 945.00 95240-400 61,098 Silver (CMO)-5000 troy oz.Spertroyez March 16.89 -0.143 84 May 16.690 16.810 16.465 16.541 -0.143 149,163 Crude Oil, Light Sweet NYM-L000bbisS per tbl. May 65.55 66.41 64.53 65.25 -0.30 512,688 June 65.47 66.27 64.49 65.18 -0.23 347,725 July 65.09 65.98 6417 64,36 -0.17 156,042 Sept 64.00 64.71 63.25 63.83 -0.09 170.143 Dec 63.05 6168 62.29 0.01 251,898 Dec 19 57.52 58.11 57.14 57.67 0.15 133,839 NY Harbor ULSD NYM-42000 gal: Spergal. Apri 20170 2.0460 2.0050 2.0224 .0074 25,793 201992.0485 2.0065 2.0242 0062 128,061 Gasoline-NYRBOB ONYM) 42000 gal:Spergal April 20110 2.0330 1.9987 20135.0031 25.530 May 20199 20426 2.0060 2.0210.0007 160,098 Natural Gas (NYM)-10.000 MMtu: Sper MMBtu. April 2629 2707 2.691 073 5,560 May 2669 2721 2.660 2.714 052 389,906 June 2728 2774 2719 2.766 050 93,399 July 2789 2830 2.780 2.822 045 154.195 Sept 2788 2.829 2.782 2023 96,749 Oct 2.805 2842 2.795 2.836 040 130,534 Contract Open Opon High Milo Low Sottle Che Interest Sugar-World (ICE-US) 112000 lbs.contsport. May 12:42 12.58 1235 12.54 12 417,923 12.63 12.12 1234 12.66 -10 236270 Sugar-Domestic (ICE-US)-112000 bs.cents per May 2445 24.45 2445 24.45 - 03 3,218 July 25.05 25.05 24.91 25.02 - 13 2,674 Cotton OCE-US) 50,000 bs.contsperit 81.88 82.77 3172 82.02 24 113,430 Dec 7750 7792 77.50 77.62 - 04 72,650 Orange Juice (ICE-US)-15,000 ts.cortsport May 138.00 138.35 136.20 137.70 - 20 9,537 Jully 138.40 138.60 137.00 138.00 190 1977 Interest Rate Futures Treasury Bonds (CBT)-5100,000, pts 32nds of 100% June 144-140 145-280 144-110 145-200 29.0 793,328 Sept 19-280 144-150 143-280 144-210 30.0 78 Treasury Notes (CBT) S100,000pts 32res of 100% June 120-120 121-015 120-110 120-290 14.0 3.490,478 Sept 120-090 120-195 120-010 120-205 145 5 Yr. Treasury Notes (CBT) $100,000. pts 32nds of 100% March 114-162 114-162 114-160 114215 92 2,819 June 114-015 114-145 114-007 114-120 9.0 3,364,565 2 Yr. Treasury Notes (CBT)-$200.000. pls 32es of 100% March 106-177 106-18 106-172 106-185 17 11.641 June 106-077 106-117 106-072 106-107 27 1.899733 30 Day Federal Funds (GT-S5,000,000, 100-daily avg. March 98.500 98.500 98.498 98.498 122.332 April 98.325 98325 98.320 98325 364,065 10 Yr. Del. Int. Rate Swaps (CBT) $100,000 ps 32nds of 100% June 93.969 94.781 93.9694625 563 27,183 1 Month Libor (OME)-$3.000.000 pts of 100% May 98.1000 98.1000 90.1000 98.1025 0175 1,411 June 97.9550 97.9600 97.9550 97.875 0175 Eurodollar (CME-S1.000.000. pts of 100% April 97.7200 97.7450 97.7200 97.74000200 303,879 June 97.6800 97.7400 97.6800 97.7300 1500 17.799 Dec 97.4750 97.5500 97.4700 97.5400 0600 2,045,185 Dec 19 97.1350 97.2350 97.1300 97.2200 0000 2,167,522 Currency Futures Japanese Yen (OME)-V12,500,0005 per 100 April .9489 .9500 9460 4489 -0030 851 June 9527 .9546 .9494 5528 -0030 168.978 May 696 2623 Agriculture Futures June 9494 May April .9483 .9500 9460 4489 -0050 851 9527 .5528 -0030 168.978 Canadian Dollar (OME) CAD 100,000 $per CAD April 77922302 7760 777-0005 249 June 7795 7815 7761 7778-0006 121,883 British Pound (CME) E62,500 Sper E April 14243 14248 1.4083 1.4167 -0074 1125 June 14285 14293 1.413 1.4201-0075 180,805 Swiss Franc (CME) CHF 125,000: Sper CHF June 1.0656 1.0674 10589 10632-0028 44.39 Australian Dollar (CME) AUD 100,000. Sper AUD April 7749 7754 .7680 7688 -0047 1-390 May 7735 7750 .7694 7688 -0047 492 June 7757 7760 7677 7689 -0048 98,419 Sept 7756 7763 .7688 7695 -0048 643 Dec 7740 7740 7683 .7701 -0049 343 Mexican Peso (CME)-MXN 500,000 $ por MXN June 05382 053% 05361.05381 - 00016 197,395 Euro (CME)
