Construct a table showing the charges and credits

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Suppose that you buy a stock index futures contract at the opening price of 452.25 on July 1. The multiplier on the contract is 500, so the price is $500 (452.25) = $226,125. You hold the position open until selling it on July 16 at the opening price of 435.50. The initial margin requirement is $9,000, and the maintenance margin requirement is $6,000.

Assume that you deposit the initial margin and do not withdraw the excess on any given day. Construct a table showing the charges and credits to the margin account. The daily prices on the intervening days are as follows:

Day

Settlement Price

7/1

453.95

7/2

454.50

7/3

432.00

7/7

443.55

7/8

441.65

7/9

442.85

7/10

444.15

7/11

442.25

7114

438.30

7/15

435.05

7/16

435.50

Reference no: EM131324159

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