Assume deficits are eliminated to keep the position open

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Reference no: EM132029581

On 3/1/XX, you opened a short position in wheat futures contracts. Each contract has 5000 bushels of wheat attached, and each bushel traded at $4.30 at the time you opened your position. Your initial and maintenance margins per contract are $3325 and $2150, respectively.

1) If you shorted 6 futures contracts, how much did you have to place in your margin account on 3/1? Round intermediate steps to four decimals and your final answer to two decimals. Do not use currency symbols or words when entering your response.

2) Find your ending margin balance on 3/2 if wheat futures closed at $4.34/bushel that day. Assume deficits are eliminated to keep the position open. Round intermediate steps to four decimals and your final answer to two decimals. Do not use currency symbols or words when entering your response.

Reference no: EM132029581

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