Determining the futures contract

Assignment Help Finance Basics
Reference no: EM131180574

Yesterday, you entered into a futures contract to buy €125,000 at $1.14 per €. Suppose the futures price closes today at $1.135. How much have you made/lost in your futures contract? State amount and whether it is a gain or loss.

Reference no: EM131180574

Questions Cloud

Increasingly choosing to self­ fund their health plans : Which of the is NOT a reason that that large firms are increasingly choosing to self ­fund their health plans:
How does being immunized against pertussis in infants : In infants, how does being immunized against pertussis, compared with not being immunized, effect morbidity and mortality
What can the organization do to alleviate employees stress : Share an example of a job known to be cognitively, emotionally, or physically stressful. What makes it stressful? What can be changed about the job to make it less stressful? What can the organization do to alleviate employees' stress? Be sure to ..
Would firms pay to be able to administer it : What affect would this strategy have on the return to education? -Can you think of realworld markets in which firms use such strategies?
Determining the futures contract : Yesterday, you entered into a futures contract to buy €125,000 at $1.14 per €. Suppose the futures price closes today at $1.135. How much have you made/lost in your futures contract? State amount and whether it is a gain or loss.
What is the effective exchange rate : What is the effective exchange rate you received for the €145,000?  Go to 4 decimal places.
How is linkage between poverty and discrimination reflected : How is the linkage between poverty and discrimination reflected in the conditions of racial and ethnic minority populations? Identify two examples of social policies that have attempted to address these issues and discuss their effectiveness.
Draw the incentive contracts on the given graph : Draw the following incentive contracts on the same graph, with gross profit for the firm on the horizontal axis and manager pay on the vertical axis as in Figure.
Effective exchange rate : On that same day you close your futures contract at $1.15/€. What is the effective exchange rate you received for the €145,000? Go to 4 decimal places.

Reviews

Write a Review

Finance Basics Questions & Answers

  For each company compute these values and ratio current

selected financial data of two competitors blockbuster inc. and movie gallery inc. in a recent year are presented

  What are your winnings worth today

The relevant nominal discount rate is 6.3 percent and the inflation rate is 4.5 percent. What are your winnings worth today?

  Interest payments semiannually

A bond's market price is $1,200. It has a $1,000 par value, will mature in 14 years and has a coupon interest rate of 11% annual interest, but makes its interest payments semiannually.

  Verify if the allocation are feasible & pareto optimal

There are two people (A&B) and two goods (1&2). One production process is available with a production function y2 (y1) = 2y1. The two people are endowed with a total of 60 units of good 1 (we do not know what is the division of wealth). The utility f..

  In 2010 the earnings per share of souaet ltd was 1 yuan the

in 2010 the earnings per share of souaet ltd was 1 yuan. the company was considering a 1 for 1 bonus issue. on the day

  Determine the value that is described in each of the

determine the value that is described in each of the following investments. assume that no money is withdrawn during

  Advantages and disadvantages to us corporation

What are the advantages and disadvantages to a U.S. corporation which employs currency options on euros rather than a forward contract on euros to hedge its exposure in euros?

  Use put-call parity to relate the initial investment for a

use put-call parity to relate the initial investment for a bull spread created using calls to the initial investment

  What is the total market value of debt

The book value of this debt issue is $108 million. In addition, the company has a second debt issue, a zero coupon bond with 9 years left to maturity; the book value of this issue is $67 million, and it sells for 61.5 percent of par. The company's..

  A european call option to buy a share

The market price of ZYX stock has been volatile and you expect that volatility to continue for a few weeks based on recent news.  Due to this belief you decide to purchase calls and puts to manage your exposure.  You purchase a one-month call option ..

  Which will be depreciated straight-line to zero

You are evaluating a product for your company. You estimate the sales price of product to be $160 per unit and sales volume to be 10,600 units in year 1; 25,600 units in year 2; and 5,600 units in year 3. The project has a 3 year life. Variable costs..

  Which of the following is true regarding the primary market

Which of the following is true regarding the primary market?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd