Calculate anticipated profits-position in three contracts

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Reference no: EM131043193

The September 2013 Mexican peso futures contract has a price of $0.07713 per MXN. You believe the spot price in September will be $0.08365 per MXN. The contract size of one MXN contract is MXN500,000. (1) What speculative position would you enter into to attempt to profit from your beliefs? (2) Calculate your anticipated profits, assuming you take a position in three contracts. (3) What position you would enter into if you believe the September 2013 spot price will be $0.07061 per MXN?

Reference no: EM131043193

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