Future price leading to margin call


Assume that you enter into a long futures contract to purchase May gasoline for $0.80 per gallon on the New York Commodity Exchange. The size of the contract is 42,000 gallons. The initial margin requirement is $2,000 and the maintenance margin is $1,500. What change in the futures price will lead to the margin call?

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Risk Management: Future price leading to margin call
Reference No:- TGS022043

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