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An Investor Controls Contracts on Five 5,000 Bushel Futures Contracts

Question 76

Short Answer

An investor controls contracts on five 5,000 bushel futures contracts on grain, at a price of $3 per bushel. The margin requirement is 5%, and the maintenance margin is 80%. How much would the price per bushel have to change to provide a $750 profit?

Correct Answer:

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$0.03
Explanation: Refer to th...

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