Question: Sammy buys 3 March 2023 corn contracts when the quote is 672'6. His broker requires a 12% margin. He is trading on the CME futures

Sammy buys 3 March 2023 corn contracts when the quote is 672'6. His broker requires a 12% margin. He is trading on the CME futures exchange. One the first day after his purchase, the price of corn drops to 669'4. On the second day after his purchase the price of corn drops to 653. Will Sammy receive a margin call and if so, how much must he add to his account? A. NO, he does not receive a margin call, nothing need be added to his account B. YES, he receives a margin call, and $1,850 must be added to his account C. YES, he receives a margin call, and $2,225 must be added to his account D. YES, he receives a margin call, and $5,000 must be added to his account

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