Question: do i need to multiply the change in settle price by .01 Question #139 (10 points). Cooper entered into a long position in Natural Gas.
Question #139 (10 points). Cooper entered into a long position in Natural Gas. The maintenance margin is $7,500 per contract and the initial margin is $8,250 per contract. Each contract is for 10,000 MMBtu's. Prices below are US dollars and cents per MMBtu. If Cooper purchased 5 contracts: (a) what is the amount of his initial margin for his entire exposure/position? (1 point) (b) what is the amount of his maintenance margin for his entire exposure/position? (1 point) (c) complete the table below for his margin account balance for his entire exposure/position. (8 points) Be sure to appropriately label values in the respective columns/rows/cells. Day Trade Price Settle Price Daily Gain (5) Cum Gain (S) Margin Balance ($) Margin Call ($) 1 $4,475 2 $4.675 3 $4.570 4 $5.043 5 $4.723 6 $4,492 7 $4.199 9 54.220 9 $3.978 10 $3.941 11 $3.934 19
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