Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. suppose you "buy to open a long position" one dece

Suppose you "buy to open a long position" one December 2021 S&P 500 futures contract...

60.1K

Verified Solution

Question

Finance

Suppose you "buy to open a long position" one December 2021 S&P 500 futures contract at the contract price of 4,055.70 in CME. The initial margin requirement on the December 2021 S&P 2021 S&P 500 futures contract is $60,500 and the maintenance requirement is $55,000. Contract size is $250 times the S&P 500 Index value. How much will your account balance be at the end of the second day if the settlement price of the contract turns out to be 4,028.40 at the end of the first day and 4,075.50 at the end of the second day.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Medical Sciences
1.2K views

Explain how counter current multiplier and counter current exchange occur in the kidney.

Physics
1.2K views

A particle moves in the xy plane with constant acceleration. At t = 0 the particle...

Mechanical Engineering
1.2K views

Is there a specific formula in case there was a known heat loss given by the equation...

General Management
1.2K views

Research and discuss the similarities and dissimilarities between three types of bar codes. Include in your research/discussion...

Physics
1.2K views

Figure shows some energy levels of an electron in H atom E Which among the...

Physics
1.2K views

The temperature scale where water boils at 212 isO KelvinO FahrenheitO Celsius

Accounting
1.2K views

All answers provided for question LO3 P22-36 are incorrect. How do I view all answers...

Accounting
1.2K views

Requirement 4. Division is considering two posible expansion plans Plan A would expand a current...

Accounting
1.2K views

Exercise 2-2(Algo) Apply Overhead Cost to Jobs [LO2-2] Luthan Company uses a plantwide...

Finance
1.2K views

Table -1- Cashflow Estimation Year 0 Year 1 Year 2 Year 3 Year 4 Year...

Finance
1.2K views

You have an opportunity to invest $50,400 now in return for $60,200 in one year....

Finance
1.2K views

I tried doing it on my own and I couldn't, please explain to me why...