Suppose the S&P 500 index futures price is currently 1200. You wish to purchase four futures contracts

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Suppose the S&P 500 index futures price is currently 1200. You wish to purchase four futures contracts on margin.
a. What is the notional value of your position?
b. Assuming a 10% initial margin, what is the value of the initial margin?
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Derivatives Markets

ISBN: 978-0321543080

4th edition

Authors: Rober L. Macdonald

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