Solution-Calculate the profit over the whole period

Calculate the profit over the whole period

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Reference no: EM133070305

The current value of an S&R futures is 1000$. You buy 50 futures on the S&R and the contract size is 500$. The margin is settled on a weekly basis and the margin is 12.5% of the notional value. Margin calls are made as soon as the the margin is below 75% of the initial margin level. We assume that r = 5%. Use an Excel spreadsheet to calculate the profit over the whole period for a) Futures and b) Forward contract. Upload your Excel Spreadsheet with the detailed calculations.

Week	Futures Price
0	1000
1	1000.8758
2	1049.7287
3	1000.233652
4	1090.6103
5	1031.3506
6	1068.291831
7	943.4941
8	1000.7646
9	1000.056343
10	1000.7060
11	1000.1154
12	1000.142013
13	998.3606
14	1024.8248
15	1029.59584
16	934.9980
17	1066.0310
18	1098.829283
19	1000.8389
20	1050.2562
21	916.6526633
22	932.3819
23	1074.1541
24	1000.836095
25	1000.8536
26	1000.9763
27	1000.339745
28	1043.9483
29	1000.8804
30	942.69728
31	1000.6212
32	1099.8170
33	1097.465249
34	1014.5519
35	1000.7180
36	977.1972236
37	940.3342
38	932.2331
39	998.2996464
40	1096.6308
41	1000.4736
42	1045.876523
43	1013.5664
44	1000.1654
45	1059.384213
46	991.1452
47	1021.9621
48	964.1776909
49	1068.3488
50	1000.3349
51	1000.086655
52	1044.1540

Reference no: EM133070305

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Calculate the profit over the whole period

Reference no: EM133070305

Reference no: EM133070305

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