Suppose today is May 1, 2014, and your firm produces breakfast cereal and needs 95,000 bushels of corn in July 2014 for an upcoming promotion. You would like to lock in your costs today because you are concerned that corn prices might rise between now and July. Use Table 23.1

a.	What total cost would you effectively be locking in based on the closing price of the day? (Round your answer to the nearest whole number, e.g., 32.)

Total cost

$

b.	Suppose corn prices are $5.11 per pound in July. What is the profit or loss on your futures position? (Enter your answer as a positive number. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

(Click to select)ProfitLoss

$

9795 .9947 NO Toucas 135 Swiss Franc (CHE-CHTS.000: 11369 TABLE 23.1 Sample Wall Street Futures Contracts WSJ.com/commodities Journal Futures Price Metal & Petroleum Futures Contract Open Low High Nila Setti Cho interest Contract Open Quotations Open Mish bilo low Settle interest Sugar-World (ICE-US)-112,000 lbstsparih Copper-High (CM)-25,000 lbs May 17.05 17.35 17.05 17.24 .20 19,945 SOURCE: Reprinted by May 3.070 3.0835 3.0210 3.0295 -0.0430 4.060 July 17.62 17.88 17.61 17.72 .15 431,957 July permission of The Wall Street 3.0740 3.0795 3.0150 3.0275 -0.0455 98 212 Sugar-Domestic (ICE-US) 112,000 lbsounts perb Gold (CMX)-100 troy co.: Sprys July 24.55 24.55 2455 2445 .11 3.214 Joumal 2014 Dow Jones May 1296.00 1296 50 1286.60 1295.60 -0.40 608 Nov 25.25 25.25 2450 24.85 30 3.182 & Company, Inc., May 1, June 1295.60 1298.40 1284.90 1295.90 -0.40 218,906 Cotton (ICE-US) 50,000 cents per lh. Aug 1295.50 1297.50 1285.10 1296.00 -0.50 51,769 May 94.31 94.60 9431 94.14 -12 605 2014. All Rights Reserved Oct 1293.00 1298.00 1286.00 1296.10 -0.50 10324 July 94.00 94.58 93.81 94.29 .23 115.145 Worldwide. Dec 1295.10 1297.70 1285.60 1296.20 -0.50 27,516 Orange Juice (DCE-US) 15,000 lbs, cents per lb. Dec 15 1296.40 1296.40 1296.40 1299.71 -0.20 10,641 May 157.00 157.10 155.20 154.60 -2.40 2.2017 miNY Gold (CMX) Straya: $ pertray July 160.50 161.90 160.30 160.60 -.70 15,550 June 129550 1298.25 1285.00 1296.00 -0.25 552 Aug 1291.00 1291.00 1291.00 1296.00 -0.50 47 Interest Rate Futures Palladium (NYM)-50 troyes, per troy Treasury Bonds (CBT)-$100,000, a od 100% Sept 802.00 813.70 800.00 813.45 4.60 4,780 June 812.00 12.00 134-130 135-000 133-300 134-300 18.0 733.186 Dec 812.00 813.85 4.60 233 Sept 133-200 134-060 133-050 134-050 18.0 1.753 Platinum (NYM)-try as: $ per troyes June 1991.10 1417.10 1391.10 1426.90 Treasury Notes (CBT)-$100,000: ptsnds at 100% -3.50 June 1430.20 1431 20 i24-005 124-145 July 1419.70 1427.90 -3.50 60,875 123-260 124-135 13.5 2,516,039 Silver (CMX-5.000 truyes: $ pertoys Sept 123-025 123-170 122-315 123-170 14.0 12.649 May 19.435 19.450 19.025 19.119 -0.369 2.785 5 Yr. Treasury Notes (CBT)-$300.000ptsnds of 100% July 19.485 19.510 19.060 19.174 -0.364 100,283 June 119-060 119-150 119-027 119-145 9.7 2,078,501 miNY Silver (CMX) 2500 tro: $ per tropez Sept 118-100 118-202 118-090 118-200 10.2 18.585 July 19.438 19.438 19.100 19.175 -0.363 124 2 Yr. Treasury Notes (CBT) $200.000: pts 2nd af 1004 Sept 19.188 19.188 19.188 19.200 -0.375 6 June 109-287 109-305 109-280 109-300 1.5 1.085.118 Crude Oil, Light Sweet (NYM)-1,000 bbls: Sper bl. Sept 109-200 109-202 109-182 109-202 2.0 28,670 June 100.76 100.76 99.34 99.74 -154 341,594 30 Day Federal Funds (CBT) $5.000,000;100-daily avg. July 100.06 100.06 98.72 99.11 -148 192,620 April 99.910 99.913 99.910 99.913 48.635 Aug 99.15 99.16 97,91 98.28 -1.43 101,218 Dec 99.870 99.875 99.865 99.870 26,827 Sept 98.24 98.24 97.00 97:39 -139 107,875 Dec 95.75 95.98 94.56 94.93 -131 214.924 June 101-060 101-250 101-050 101-245 51,386 Dec 15 88.56 88.57 87.73 88.03 -0.89 119,044 1 Month Labor (CME) $3,000,000,000 Heating Od No. (NYM)-42,000 gal.: Speryal May 99.8500 99.8500 99.8500 99.8500 0025 1,074 May 2.9650 2.9661 2.9235 2.9349-0352 4,819 July 99.8475 99,8475 A 99.8450 99.8450.0025 521 June 2.9620 29620 2.9168 2.9281-0354 95,367 Eurodollar (CME) $1,000,000ptsa 100% Gasoline NY RBOB (NYN-42.000 gal:5 pergal. May 99.7750 99.7775 99.7750 99.7750 .0025 30,867 May 3.0589 3.0605290183.0077 2.9918 3.0077 -0557 6,961 Marchy 15 99.6150 99.6350 99.6100 99.6300 0150 1,051 313 June 3.0020 3.0055 2.9478 2.9644-0436 123,498 June 99.4300 99,4600 99.4250 99.4550 .0250 1.072.829 Dec 98.9200 98.9650 Natural Gas (NYC-10,000 MMB Spor MBL. 98.9000 98.9600 .0450 1.222.978 June 4.838 4.852 4.751 4.815 -06 190.355 July 4.860 4877 4.777 4.843 -010 182,707 Currency Futures Sept 4.814 4845 4.747 4,813 -007 61,579 Japanese Yen (CME) V12.500.000$ pe 100 Oct 4.831 4.850 4.754 4.818 --007 120745 June .9745 9804 .9743 0043 167,682 Jan'15 5.006 5.052 4.965 5.022 - 010 64,347 June 16 ,0041 7.000 4.272 4.272 April 400 4.217 4.239 -015 64,511 Canadian Dollar (CME)-CAD 200,000 $ per CAD June 9124 9128 9097 .9126 .0009 115.458 Agriculture Futures Dec 90809091 9078 .9086 .0009 2.385 Corn (CBT) 5,000 bu, cents per le British Pound (CME) 62,500,5 perc May 515.00 515.50 509.00 514.00 -175 35,010 June 1.6820 1.6895 A 1.6797 1.6881 .0056 234,702 July 520.75 52150 514.25 519.00 -2.50 627,376 Sept 1.6803 1.6880 A 1.6792 1.6868 .0055 1.188 Ethanol (CBT)-29.000 gal: $peryal May 2.297 2314 2.251 2.260 -04 294 June 1.1319 1.1385 11300 1.1369 .0048 46.955 June 2220 2231 2.181 2.186 -03 1,838 Sept 1.1326 1.1373 1.1326 1.1378 0049 324 Oats (CBT) 5.000 bucetsparb. Australian Dollar (CME)-AUD 100,000 $pe AUD May 422.00 425.50 411.00 418.50 -3.50 328 June 9237 9271 9222 .9267 0022 109.395 July 369.00 370.00 358.25 360.50 -8.75 4,661 Sept 91899211 .9166 .9209 .0023 517 Soybeans (CBT) S.CCO bezcents per bu. Mexican Peso (CME) MXN 500.000 $ per MXN May 1525.00 1532.00 A 1516,00 1530.75 6.75 16,868 June 07600 .02630 07595.07628 07628 00017 127,104 July 1517.25 1517.75 1502.25 1512.75 -450 313,722 Sept 07553 07553 07553.07573 .00017 900 Soybean Meal (CET)-100 ton perton. Euro CME) E28.000 Spec May 501.70 50480 A 499,00 503.90 4.00 10,595 June 1.3810 1.3877 1.3768 1.3870 ,0061 259,078 July 490.90 49130 489.20 493.70 2.50 169.405 Sept 1.3806 1.3874 1.3768 13868 .0061 11.787 Soybean Oil (CBT)-50,000 lbs.cats per lb Euro/Japanese Yen (ICE-US)-E125,000 per May 42.79 42.80 41.69 41.BE --89 8,767 June 141.71 141.05 141.09 141.60 2.926 July 42.91 43.00 41.82 42.11 -84 166,719 Euro/British Pound (ICE-US) 125.000; Epar Rough Rice (CBT)-2.000 wt. $ per cwt. June 8212 ,8241 81988217 .0009 1,906 May 1555.50 1563.00 1552.50 1561.50 -100 276 Euro/Swiss Franc (ICE-US) C125.000,CHF pure July 1556.50 1959.50 1548.00. 1555.50 1.50 5,605 June 1.2197 1.2204 A 12187 1.2200 .0002 415 Wheat (CBT) S000 perbe May 706.25 216.00 702.25 713.00 5.00 6,501 Index Futures 715.00 724.75 710.75 721.50 5.00 224,364 DJ Industrial Average (CBT)-$10 x index Wheat (KC) 9.000 bacats per bu. June 16461 16525 16433 16511 44 4,931 May 796.50. 811.00 A 293.50 809.75 12.50 1,951 Mini DJ Industrial Average (CBT)-$5x index July 802.50 815.25 796.29 812.50 10.00 88,987 June 16460 16526 16432 16511 44 121,623 Wheat (MPLS)-5.000 b.comts per bu Sept 16394 16443 16378 16440 44 141 May 746.50 758.50 742.75 742.75 757.00 9.75 1,161 S&P 500 Index (CME) $250 x index July 760.00 771.25 A 756.25 768.75 7.50 35,513 June 1870.40 1880.20 1866.50 1877.90 6.10 129,189 Cattle-Feeder (CME) 50,000 lbonts per lh. Sept 1865.40 1872,40 A 1860.40 1870.50 6.10 1871 May 180.600 181425 179.900 181.200 625 8,202 Mini S&P500(CME)-$50 x index Aug 186.800 187.900 A 186.250 187.475 925 23,690 June 1870.50 1880.25 1866.25 1878.00 6.25 2.835,160 Cattle-Live (CME)-40,000 lbs: cents per la Sept 1863.25 1872.75 1859.25 1870.50 6.00 14,711 April 145.400 148.500 A 144.900 145.825 325 963 Mini S&P Midcap 400(CME)-$100 x Index June 137.175 137.725 136.575 137.200 175 173,780 June 1344.70 1354.80 1337.80 1353.10 7.90 B7 449 Hogs-Lean (CME) 40,000 s, its per la Nasdaq 100 (CME) $200 x Index May 118.675 119.000 117.275 117.675 -2600 2,854 June 3555.50 3581.00 3537.00 3573.25 9.50 16,591 June 124.425 124.500 122.500 123.125 -2150 99 400 Mini Nasdaq 100(CME) $20 x index Lumber (CME)-110,000 M$ per 1,000 .. June 35573 3578.0 3539.0 3573.3 9.5 348,588 May 336.70 339.00 334.80 335.90 -1.40 1,074 Sept 3549,3 35680 3534.8 3566.5 9.8 295 July 333.50 334.60 330.10 331.20 -2.30 3,126 Mini Russell 2000 (ICE-US)-$100x Index Milk (CME)-200,000 lbs.cats per June 1115.00 1126.70 1103.60 1123.60 7.30 323,243 April 24.27 2432 24.27 24.31 .01 5,011 Sept 1143.00 1143.00 1135.00 1119.30 720 75 May 22.55 22.73 22.01 22.55 .07 5,060 Mini Russell 1000 (ICE-US)-$100 x index Cocoa (ICE-US)-10 telefon peeton. June 1039.40 1048.70 1039.70 1047.10 3.70 9.229 May 2,935 2,983 2,935 2,974 34 744 U.S. Dollar Index (ICE-US) $1,000 x index July 2,951 3.018 2.945 2,980 29 104,113 June 79.8780.02 79.51 79.53 - 35 51 335 Coffee (ICE-US)-37.500 lbs.comnts per lh. Sept 30.02 0.02 79.66 79.67 -34 1.450 May 207.00 206.40 200.90 203.05 -5.85 206 July 210.00 211.20 202.00 205.85 -6.05 84,567 Source: SIX Financial Information July 9795 .9947 NO Toucas 135 Swiss Franc (CHE-CHTS.000: 11369 TABLE 23.1 Sample Wall Street Futures Contracts WSJ.com/commodities Journal Futures Price Metal & Petroleum Futures Contract Open Low High Nila Setti Cho interest Contract Open Quotations Open Mish bilo low Settle interest Sugar-World (ICE-US)-112,000 lbstsparih Copper-High (CM)-25,000 lbs May 17.05 17.35 17.05 17.24 .20 19,945 SOURCE: Reprinted by May 3.070 3.0835 3.0210 3.0295 -0.0430 4.060 July 17.62 17.88 17.61 17.72 .15 431,957 July permission of The Wall Street 3.0740 3.0795 3.0150 3.0275 -0.0455 98 212 Sugar-Domestic (ICE-US) 112,000 lbsounts perb Gold (CMX)-100 troy co.: Sprys July 24.55 24.55 2455 2445 .11 3.214 Joumal 2014 Dow Jones May 1296.00 1296 50 1286.60 1295.60 -0.40 608 Nov 25.25 25.25 2450 24.85 30 3.182 & Company, Inc., May 1, June 1295.60 1298.40 1284.90 1295.90 -0.40 218,906 Cotton (ICE-US) 50,000 cents per lh. Aug 1295.50 1297.50 1285.10 1296.00 -0.50 51,769 May 94.31 94.60 9431 94.14 -12 605 2014. All Rights Reserved Oct 1293.00 1298.00 1286.00 1296.10 -0.50 10324 July 94.00 94.58 93.81 94.29 .23 115.145 Worldwide. Dec 1295.10 1297.70 1285.60 1296.20 -0.50 27,516 Orange Juice (DCE-US) 15,000 lbs, cents per lb. Dec 15 1296.40 1296.40 1296.40 1299.71 -0.20 10,641 May 157.00 157.10 155.20 154.60 -2.40 2.2017 miNY Gold (CMX) Straya: $ pertray July 160.50 161.90 160.30 160.60 -.70 15,550 June 129550 1298.25 1285.00 1296.00 -0.25 552 Aug 1291.00 1291.00 1291.00 1296.00 -0.50 47 Interest Rate Futures Palladium (NYM)-50 troyes, per troy Treasury Bonds (CBT)-$100,000, a od 100% Sept 802.00 813.70 800.00 813.45 4.60 4,780 June 812.00 12.00 134-130 135-000 133-300 134-300 18.0 733.186 Dec 812.00 813.85 4.60 233 Sept 133-200 134-060 133-050 134-050 18.0 1.753 Platinum (NYM)-try as: $ per troyes June 1991.10 1417.10 1391.10 1426.90 Treasury Notes (CBT)-$100,000: ptsnds at 100% -3.50 June 1430.20 1431 20 i24-005 124-145 July 1419.70 1427.90 -3.50 60,875 123-260 124-135 13.5 2,516,039 Silver (CMX-5.000 truyes: $ pertoys Sept 123-025 123-170 122-315 123-170 14.0 12.649 May 19.435 19.450 19.025 19.119 -0.369 2.785 5 Yr. Treasury Notes (CBT)-$300.000ptsnds of 100% July 19.485 19.510 19.060 19.174 -0.364 100,283 June 119-060 119-150 119-027 119-145 9.7 2,078,501 miNY Silver (CMX) 2500 tro: $ per tropez Sept 118-100 118-202 118-090 118-200 10.2 18.585 July 19.438 19.438 19.100 19.175 -0.363 124 2 Yr. Treasury Notes (CBT) $200.000: pts 2nd af 1004 Sept 19.188 19.188 19.188 19.200 -0.375 6 June 109-287 109-305 109-280 109-300 1.5 1.085.118 Crude Oil, Light Sweet (NYM)-1,000 bbls: Sper bl. Sept 109-200 109-202 109-182 109-202 2.0 28,670 June 100.76 100.76 99.34 99.74 -154 341,594 30 Day Federal Funds (CBT) $5.000,000;100-daily avg. July 100.06 100.06 98.72 99.11 -148 192,620 April 99.910 99.913 99.910 99.913 48.635 Aug 99.15 99.16 97,91 98.28 -1.43 101,218 Dec 99.870 99.875 99.865 99.870 26,827 Sept 98.24 98.24 97.00 97:39 -139 107,875 Dec 95.75 95.98 94.56 94.93 -131 214.924 June 101-060 101-250 101-050 101-245 51,386 Dec 15 88.56 88.57 87.73 88.03 -0.89 119,044 1 Month Labor (CME) $3,000,000,000 Heating Od No. (NYM)-42,000 gal.: Speryal May 99.8500 99.8500 99.8500 99.8500 0025 1,074 May 2.9650 2.9661 2.9235 2.9349-0352 4,819 July 99.8475 99,8475 A 99.8450 99.8450.0025 521 June 2.9620 29620 2.9168 2.9281-0354 95,367 Eurodollar (CME) $1,000,000ptsa 100% Gasoline NY RBOB (NYN-42.000 gal:5 pergal. May 99.7750 99.7775 99.7750 99.7750 .0025 30,867 May 3.0589 3.0605290183.0077 2.9918 3.0077 -0557 6,961 Marchy 15 99.6150 99.6350 99.6100 99.6300 0150 1,051 313 June 3.0020 3.0055 2.9478 2.9644-0436 123,498 June 99.4300 99,4600 99.4250 99.4550 .0250 1.072.829 Dec 98.9200 98.9650 Natural Gas (NYC-10,000 MMB Spor MBL. 98.9000 98.9600 .0450 1.222.978 June 4.838 4.852 4.751 4.815 -06 190.355 July 4.860 4877 4.777 4.843 -010 182,707 Currency Futures Sept 4.814 4845 4.747 4,813 -007 61,579 Japanese Yen (CME) V12.500.000$ pe 100 Oct 4.831 4.850 4.754 4.818 --007 120745 June .9745 9804 .9743 0043 167,682 Jan'15 5.006 5.052 4.965 5.022 - 010 64,347 June 16 ,0041 7.000 4.272 4.272 April 400 4.217 4.239 -015 64,511 Canadian Dollar (CME)-CAD 200,000 $ per CAD June 9124 9128 9097 .9126 .0009 115.458 Agriculture Futures Dec 90809091 9078 .9086 .0009 2.385 Corn (CBT) 5,000 bu, cents per le British Pound (CME) 62,500,5 perc May 515.00 515.50 509.00 514.00 -175 35,010 June 1.6820 1.6895 A 1.6797 1.6881 .0056 234,702 July 520.75 52150 514.25 519.00 -2.50 627,376 Sept 1.6803 1.6880 A 1.6792 1.6868 .0055 1.188 Ethanol (CBT)-29.000 gal: $peryal May 2.297 2314 2.251 2.260 -04 294 June 1.1319 1.1385 11300 1.1369 .0048 46.955 June 2220 2231 2.181 2.186 -03 1,838 Sept 1.1326 1.1373 1.1326 1.1378 0049 324 Oats (CBT) 5.000 bucetsparb. Australian Dollar (CME)-AUD 100,000 $pe AUD May 422.00 425.50 411.00 418.50 -3.50 328 June 9237 9271 9222 .9267 0022 109.395 July 369.00 370.00 358.25 360.50 -8.75 4,661 Sept 91899211 .9166 .9209 .0023 517 Soybeans (CBT) S.CCO bezcents per bu. Mexican Peso (CME) MXN 500.000 $ per MXN May 1525.00 1532.00 A 1516,00 1530.75 6.75 16,868 June 07600 .02630 07595.07628 07628 00017 127,104 July 1517.25 1517.75 1502.25 1512.75 -450 313,722 Sept 07553 07553 07553.07573 .00017 900 Soybean Meal (CET)-100 ton perton. Euro CME) E28.000 Spec May 501.70 50480 A 499,00 503.90 4.00 10,595 June 1.3810 1.3877 1.3768 1.3870 ,0061 259,078 July 490.90 49130 489.20 493.70 2.50 169.405 Sept 1.3806 1.3874 1.3768 13868 .0061 11.787 Soybean Oil (CBT)-50,000 lbs.cats per lb Euro/Japanese Yen (ICE-US)-E125,000 per May 42.79 42.80 41.69 41.BE --89 8,767 June 141.71 141.05 141.09 141.60 2.926 July 42.91 43.00 41.82 42.11 -84 166,719 Euro/British Pound (ICE-US) 125.000; Epar Rough Rice (CBT)-2.000 wt. $ per cwt. June 8212 ,8241 81988217 .0009 1,906 May 1555.50 1563.00 1552.50 1561.50 -100 276 Euro/Swiss Franc (ICE-US) C125.000,CHF pure July 1556.50 1959.50 1548.00. 1555.50 1.50 5,605 June 1.2197 1.2204 A 12187 1.2200 .0002 415 Wheat (CBT) S000 perbe May 706.25 216.00 702.25 713.00 5.00 6,501 Index Futures 715.00 724.75 710.75 721.50 5.00 224,364 DJ Industrial Average (CBT)-$10 x index Wheat (KC) 9.000 bacats per bu. June 16461 16525 16433 16511 44 4,931 May 796.50. 811.00 A 293.50 809.75 12.50 1,951 Mini DJ Industrial Average (CBT)-$5x index July 802.50 815.25 796.29 812.50 10.00 88,987 June 16460 16526 16432 16511 44 121,623 Wheat (MPLS)-5.000 b.comts per bu Sept 16394 16443 16378 16440 44 141 May 746.50 758.50 742.75 742.75 757.00 9.75 1,161 S&P 500 Index (CME) $250 x index July 760.00 771.25 A 756.25 768.75 7.50 35,513 June 1870.40 1880.20 1866.50 1877.90 6.10 129,189 Cattle-Feeder (CME) 50,000 lbonts per lh. Sept 1865.40 1872,40 A 1860.40 1870.50 6.10 1871 May 180.600 181425 179.900 181.200 625 8,202 Mini S&P500(CME)-$50 x index Aug 186.800 187.900 A 186.250 187.475 925 23,690 June 1870.50 1880.25 1866.25 1878.00 6.25 2.835,160 Cattle-Live (CME)-40,000 lbs: cents per la Sept 1863.25 1872.75 1859.25 1870.50 6.00 14,711 April 145.400 148.500 A 144.900 145.825 325 963 Mini S&P Midcap 400(CME)-$100 x Index June 137.175 137.725 136.575 137.200 175 173,780 June 1344.70 1354.80 1337.80 1353.10 7.90 B7 449 Hogs-Lean (CME) 40,000 s, its per la Nasdaq 100 (CME) $200 x Index May 118.675 119.000 117.275 117.675 -2600 2,854 June 3555.50 3581.00 3537.00 3573.25 9.50 16,591 June 124.425 124.500 122.500 123.125 -2150 99 400 Mini Nasdaq 100(CME) $20 x index Lumber (CME)-110,000 M$ per 1,000 .. June 35573 3578.0 3539.0 3573.3 9.5 348,588 May 336.70 339.00 334.80 335.90 -1.40 1,074 Sept 3549,3 35680 3534.8 3566.5 9.8 295 July 333.50 334.60 330.10 331.20 -2.30 3,126 Mini Russell 2000 (ICE-US)-$100x Index Milk (CME)-200,000 lbs.cats per June 1115.00 1126.70 1103.60 1123.60 7.30 323,243 April 24.27 2432 24.27 24.31 .01 5,011 Sept 1143.00 1143.00 1135.00 1119.30 720 75 May 22.55 22.73 22.01 22.55 .07 5,060 Mini Russell 1000 (ICE-US)-$100 x index Cocoa (ICE-US)-10 telefon peeton. June 1039.40 1048.70 1039.70 1047.10 3.70 9.229 May 2,935 2,983 2,935 2,974 34 744 U.S. Dollar Index (ICE-US) $1,000 x index July 2,951 3.018 2.945 2,980 29 104,113 June 79.8780.02 79.51 79.53 - 35 51 335 Coffee (ICE-US)-37.500 lbs.comnts per lh. Sept 30.02 0.02 79.66 79.67 -34 1.450 May 207.00 206.40 200.90 203.05 -5.85 206 July 210.00 211.20 202.00 205.85 -6.05 84,567 Source: SIX Financial Information July