Question: Beth Stern purchases a 3 7 , 0 0 0 - pound coffee contract at $ 1 . 0 5 per pound with an initial

Beth Stern purchases a 37,000-pound coffee contract at $1.05 per pound with an initial margin requirement of 7 percent. The price goes up to $1.11 in four months. What are the percentage of profit and the annualized gain?

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