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You enter into a futures contract to buy white maize for R1 845 per tonne. The contract is for delivery of 1 000 tonnes. The

You enter into a futures contract to buy white maize for R1 845 per tonne. The contract

is for delivery of 1 000 tonnes. The initial margin is R 200 000 and the maintenance margin is R60 000. You receive a margin call as R140 000 was lost from the margin account.

What change in the futures price led to this margin call and what will happen if you do not

meet the margin call?

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