Question

On Monday morning you sell one June T-bond futures contract at $98,622.75. The contract's face value is $100,000. The initial margin requirement is $2,700, and the maintenance margin requirement is $2,000 per contract. Use the following price data to answer the following questions.

Day		Settle
Monday	$	97,866.25
Tuesday	$	98,568.00
Wednesday	$	100,000.00

The balance in your margin account after Wednesday will be $ _______.

Multiple Choice

• 1,322.75

• 1,768.45

• 383.86

• 543.75

On Monday morning you sell one June T-bond futures contract at $97,843.75. The contract's face value is $100,000. The initial margin requirement is $2,700, and the maintenance margin requirement is $2,000 per contract. Use the following price data to answer the following questions.

Day		Settle
Monday	$	97,406.25
Tuesday	$	98,000.00
Wednesday	$	100,000.00

At the close of day on Tuesday your cumulative rate of return on your investment is _____.

Multiple Choice

• −0.16%

• −5.8%

• −2.2%

• 16.2%

The initial margin requirement of an interest rate futures contract is 11% with a price of $128,547. The futures is worth $100,000 per contract. The percentage profit/loss of the investor with a short position of this futures will be _________ if the futures price becomes $126,000.

Multiple Choice

• 29.01% loss

• 18.01% loss

• 29.01% profit

• 18.01% profit

You shorted two S&P 500 index futures contracts at 1,558 two weeks ago. Your profit/loss will be $ _____________ if currently the S&P 500 futures price is at 1,562, assuming each S&P 500 index futures contract is worth $1,000? (Put a negative sign "-" in front of the number if it is a loss.)

Answer 1