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You are short 1 5 gasoline futures contracts, established at an initial settle price of $ 2 . 0 8 5 per gallon, where each
You are short gasoline futures contracts, established at an initial settle price of $ per gallon, where each contract represents gallons. Your initial margin to establish the position is $ per contract and the maintenance margin is $ per contract. Over the subsequent four trading days, gasoline settles at $ $ $ and $ respectively. Assume that a margin call requires you to fund your account back to the initial margin requirement.
a Compute the balance in your margin account at the end of each of the four trading days
b Compute your total profit or loss at the end of the trading period.
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