Suppose you buy an asset at $50 and sell a futures contract at $53.What is your profit at expiration if the asset price goes to $49? (Ignore carrying costs)
A)-$1
B)-$4
C)$3
D)$4
E)none of the above

Question

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The Answer of Suppose you buy an asset at $50 and sell a futures contract at $53.What is your profit at expiration if the asset price goes to $49? (Ignore carrying costs)
A)-$1
B)-$4
C)$3
D)$4
E)none of the above

Suppose You Buy an Asset at $50 and Sell a Futures