What is the margin account balance hedge fund

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A trader takes the long position and a hedge fund takes a short position on ten 1-month S&P 500 futures contracts at 1300. A single S&P 500 futures contract equals (250)X (Index Value). The initial margin is $325,000 and the maintenance margin is $245,000 for both accounts. Ten trading days later, the futures price of the index drops to 1,260 triggering a margin call for the trader. What is the margin account balance (Indicate gain or loss for each of the following): a) the trader b)the hedge fund? And what is the margin call for the trader?

Reference no: EM131445522

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