Part B$.$ Margin Accounts $(60$ Points Total$)$

T and $Z$ are both trading the CME Feeder Cattle futures. One feeder cattle contract is $50,000$ pounds,

with an initial margin of $$3,750$ per contract and a maintenance margin of $$3,\frac{150}{?}$ contract. It takes a

position of Long $2$ contracts, and Z takes a position of Short $2$ contracts. Using this information, complete

the following tables tracking both T and Z$\text{'}$s margin balances.

AEC $4123/6123-$ Fall $2024$

Name:

CME Feeder Cattle

$50,000$ pounds

$$3,750$ per contract

$$3,150$ per contract

Quotes

# Contracts

Position

U$.$S$.$ cents per pound

$2$

Long

Table $5,$ Trader T$\text{'}$s Margin Account Calculations

Sum of Margin Calls:

Margin Balance Change: