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This comes with the answer, please explain how it got there. will give a thumbs up!! 38. You short one S&P index future contract (the
This comes with the answer, please explain how it got there. will give a thumbs up!!
38. You short one S&P index future contract (the multiplier is $250 for one contract). Assume the initial margin requirement is $10,000. If the maintenance margin requirement is $6,000, will you receive a margin call on day 3? How much fund you need to put in this account to keep it working if you receive the margin call? Finish the following marking to market table. (10 points) Day Settle Price S Value of one contract Value Change in one contract Margin Account Value $10,000.00 Total HPR Margin Account Open 2053 57 $513,392.50 1 2066.38 $516,595.00 $3,202.50 $6,797.50 -32.02% 2 2074.07 SS18,517.50 $1.922.50 $4,875.00 -51.25% 3 2071.51 $517,877.50 $640.00 $5.515.00 44.85% Margin Call: Yes Maintenance margin needed $6,000 Fund needed $485.00 Step by Step Solution
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