The table presents the behavior of a futures contract on euros. Suppose you entered into the futures contract to buy 125,000 (Contract size = 125,000) at $1.24/ on October 25, 2018. The initial performance bond is $6,250 and the maintenance level is $4,000.

Date

Settlement price Gain/Loss Balance ($/)

1.24 ----------- $6,250 1.25 1.27 1.22

1.25 a. (6 points) Fill the columns based on the price history of this contract. Please show

10/25/18 10/26/18 10/29/18 10/30/18 10/31/18

your calculations.

b. (4 points) Suppose you closed out this futures contract on 10/31/18 (you held the contract position until 10/31/18). Calculate your total gain or loss from this futures contract.