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where does the 5000 come from? On September 30 you purchase (open a long position in) 5 soybean futures contracts at 985. Post margin of
where does the 5000 come from?
On September 30 you purchase (open a long position in) 5 soybean futures contracts at 985. Post margin of 5(5,060)=$25,300 a. If the futures price is 974 at delivery in December, what is your profit/loss? (9.749.85)(5)(5,000)=$2,750loss b. Suppose the futures price is 979 on November 1 . What is the value of your margin account? (5,060)5+(9.799.85)(5)(5,000)=$23,800 Step by Step Solution
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