Compute the dollar gain or loss on each of the following future Contracts.... a)

Question

Compute the dollar gain or loss on each of the following future Contracts....

a) May 14, 2015 Purchase T Bonds Interest Rate Futures Contracts expiring June 2015. Close position in June 2015 at price of 157-060. Open price is 152-060. CMT 100,000

b) May 14, 2015. Sell short mini Nasdaq 100 Index Futures Contracts expiring Setempber 2015. Close positon in Setempber at price 4518.4 open is 4425.8 20 x index

c) May 14. 2015. Purchase MiniRussell 2000 Index Futuress Contract expiring June 2015. Close position in June 2015 at price 1204.50. open is 1231.30 100x index

Use the quotes in the picture provided.

Explanation / Answer

a) Gain on purchase = (152060 - 157060)    if read as ( 152.06 - 157.06)

                                = 5000*100,000                                    5*100000

                               = 500,000,000                                      500,000

b) loss on sell of index futures =( 4425.8- 4518.40)

                                             = 92.6 *20 *100

                                             = 18520

c) loss on purchase= ( 1231.30 -1204.50)

                               = 26.8*100*2000

                              = 5,360,000

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