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You buy a one-year forward contract on Euros at $1.1 / Euro. After 6-months, you find that the forward price has increased to $1.15/ Euro.

You buy a one-year forward contract on Euros at $1.1 / Euro. After 6-months, you find that the forward price has increased to $1.15/ Euro. The contract involves buying 1,000,000. What is the value of the Future's contract a) beginning and b) after 6 months? [2 marks]

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