You sold one silver future contract at 3 per ounce

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36. You sold one silver future contract at $3 per ounce. What would be your profit (loss) at maturity if the silver spot price at that time is $4.10 per ounce? Assume the contract size is 5,000 ounces and there are no transactions costs. A. $5.50 profit B. $5,500 profit C. $5.50 loss D. $5,500 loss E. none of the above. $3.00 - $4.10 = -$1.10 X 5,000 = -$5,500. Difficulty: Moderate 37. You purchased one corn future contract at $2.29 per bushel. What would be your profit (loss) at maturity if the corn spot price at that time were $2.10 per bushel? Assume the contract size is 5,000 ounces and there are no transactions costs. $2.10 - $2.29 = -$0.19 X 5,000 = -$950. Difficulty: Moderate 22-19
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Chapter 22 - Futures Markets 38. You sold one corn future contract at $2.29 per bushel. What would be your profit (loss) at maturity if the corn spot price at that time were $2.10 per bushel? Assume the contract size is 5,000 ounces and there are no transactions costs. $2.29 - $2.10 = $0.19 X 5,000 = $950. Difficulty: Moderate 22-20
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Chapter 22 - Futures Markets 39. You sold one wheat future contract at $3.04 per bushel. What would be your profit (loss) at maturity if the wheat spot price at that time were $2.98 per bushel? Assume the contract size is 5,000 ounces and there are no transactions costs. $3.04 - $2.98 = $0.06 X 5,000 = $300. Difficulty: Moderate 40. You purchased one wheat future contract at $3.04 per bushel. What would be your profit (loss) at maturity if the wheat spot price at that time were $2.98 per bushel? Assume the contract size is 5,000 ounces and there are no transactions costs. A. $30 profit B. $300 profit C. $300 loss D. $30 loss E. none of the above. $2.98 - $3.04 = -$0.06 X 5,000 = -$300. Difficulty: Moderate 22-21
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Chapter 22 - Futures Markets 41. On January 1, you sold one April S&P 500 index futures contract at a futures price of 420. If on February 1 the April futures price were 430, what would be your profit (loss) if you closed your position (without considering transactions costs)? $420 - $430 = -$10 X 250 = -$2,500 Difficulty: Difficult 22-22
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Chapter 22 - Futures Markets 42. On January 1, you bought one April S&P 500 index futures contract at a futures price of 420. If on February 1 the April futures price were 430, what would be your profit (loss) if you closed your position (without considering transactions costs)? $430 - $420 = $10 X 250 = $2,500 Difficulty: Difficult
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  • Spring '10
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