Question: QUESTION 24 Problem #2) Ms. Smith owns a large amount of the S&P 500 Index ETF (SPY) in her retirement portfolio. She believes over the

QUESTION 24 Problem #2) Ms. Smith owns a large amount of the S&P 500 Index ETF (SPY) in her retirement portfolio. She believes over the next nine months there is a strong probability that the S&P 500 could drop significantly. To hedge her investment she "Sells to Open' 5 September S&P 500 Futures Contracts with a strike price of $3,100. Answer the following question: 1) Calculate the initial Notional Value: A $3,875,000 B. $3,750,000 C 53,100,000 D. $3,500,000 Save AM Click Save and Submit to save and submit. Click Save All Anvers to save all ans. vw MacBook Pro $ & 7 +00 9 # 3 6 5 4 2 Y U T. R E W J K H G D F s

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