Question: QUESTION 6 The initial margin for traders in the SP1200 contract is $7,655 per contract and the maintenance margin is $5,749 per contract. Consider the

QUESTION 6 The initial margin for traders in the SP1200 contract

QUESTION 6 The initial margin for traders in the SP1200 contract is $7,655 per contract and the maintenance margin is $5,749 per contract. Consider the following table of trades in the SPI futures contract. At the opening of trading the next day, how much was transferred to your clearing house account and by whom? Value Gain / Loss Number of contracts Level Open traded Position 15 (ie long 15 contracts) 7030 -25 (ie short 25 contracts) 7053 -10 6974 -20 6993 35 7040 Close 6959 a. $18,000 by the people who lost money b. $36,000 by the people who lost money C. Nil be nobody d. $18,000 by you

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

QUESTION 2 Consider the following table of trades in the 7225 call option on the SP1200 futures contract. Rather than trading in a single derivative to close out this trade, what other trade also...

QUESTION 4 The initial margin for traders in the SP1200 contract is $7,655 per contract and the maintenance margin is $5,749 per contract. Consider the following table of trades in the SP1200 futures...

QUESTION 5 The initial margin for traders in the SP1200 contract is $7,655 per contract and the maintenance margin is $6,806 per contract. Consider the following table of trades in the SP1200 futures...

The initial margin for traders in the SPI200 contract is $7,655 per contract and the maintenance margin is $6,806 per contract. Consider the following table of trades in the SPI200 futures contract....

Application: Consider the following information about the CMX gold futures contract: -Contract size: 100 troy oz. -Initial margin: $5500 per contract, Maintenance margin: $4000 per contract -Minimum...

Please help to make an excel for this assignment! Due tmr noon! Thanks in advance. Application: Consider the following information about the CMX gold futures contract: -Contract size: 100 troy oz....

Must give a thumb like if answered all questions correctly. Many thanks! Case 2 Derivatives Asset Management You are a fund manager in Derivatives Asset Management Fund (2322.HKU). You manage a...

(e) You observed the forward price in the market is 21400 for a contract with 3 months to maturity. You planned to capture an arbitrage profit. Assume the size of a forward contract is 1 times the...

The following selected transactions for ABC, Inc., occurred during the month of April. Give the journal entry for each. 1. The company incurred operating expenses for $800, paid in cash. 2. The...

The Waste Management Company produces napkins and paper towels from recycled paper. After processing 100 pounds of waste paper, the company produces 25 boxes of napkins, and 75 boxes of paper towels....

Which is NOT a type of audit? A . Marketing Audit. B . Investigative Audit. C . Information Systems Audit. D . Compliance Audit.

Draw a class diagram and its relationship based on the following statements. You can use any UML tool/software to represent your class diagram. Do NOT copy and paste your diagram, use the attachment...