Construct a table showing the charges and credits

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Reference no: EM131325953

Suppose that you buy a stock index futures contract at the opening price of 452.25 on July 1. The multiplier on the contract is 500, so the price is $500 (452.25) = $226,125. You hold the position open until selling it on July 16 at the opening price of 435.50. The initial margin requirement is $9,000, and the maintenance margin requirement is $6,000.

Assume that you deposit the initial margin and do not withdraw the excess on any given day.

Construct a table showing the charges and credits to the margin account. The daily prices on the intervening days are as follows:

Day	Settlement Price
7/1	453.95
7/2	454.50
7/3	452.00
7/7	443.55
7/8	441.65
7/9	442.85
7/10	444.15
7/11	442.25
7/14	438.30
7/15	435.05
7/16	435.50

Reference no: EM131325953

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