Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose you sell six August 2020 gold futures contracts one week ago, at a price of $1737 per ounce. The contract size of the futures

Suppose you sell six August 2020 gold futures contracts one week ago, at a price of $1737 per ounce. The contract size of the futures is 100 ounce. If the spot gold price is $1644 and the gold futures price is $1611 today, what is your total profit or loss from this futures contract?

75600

-55800

151200

-75600

55800

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Finance A Quantitative Introduction Volume 2

Authors: Piotr Staszkiewicz, Lucia Staszkiewicz

1st Edition

0128027975, 978-0128027974

More Books

Students also viewed these Finance questions