You purchased 2 Soybean Oil futures contracts today at the settlement price (labelled as "Settle") listed as following.

Soybean Oil (CBT) 60,000 lbs.; cents per lb.

Lifetime

Open High Low Settle Change High Low Open Interest

Oct. 15.28 15.33 15.25 15.29 -.02 20.35 15.25 7,441

Question 1

If there is a 10% initial margin requirement on the total value of underlying security, how much do you have to deposit? Maintenance margin requirement is $600 for each contract. In what situation will you receive a margin call from your broker?

Question 2

Assume the volatility of Soybean Oil immediately increases 20%. How will it impact Futures price? How will it impact investor's margin account requirement? Explain your answer.