BUS 316-You sell one December futures contract when the futures price is $1010
June 8th, 2024
You sell one December futures contract when the futures price is $1010 per unit. Each contract is on 100 units and the initial margin per contract that you provide is $2000. The maintenance margin per contract that you provide is $2000. The maintenance margin per contract is $1500. During the next dayy the futures settlement price rises to $1012 per unit.(a) What is the balance of your margin account at the end of the day?(b) Suppose your margin account has $2000. What is the futures price per unit above which there will be a margin call?(c) Suppose your margin account has $2000. What is the futures price per unit that will allow you to withdraw $2000 from the margin account?