Solved: By how much do long positions margin balance change, Finance Basics

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By how much do long positions margin balance change

Assume the initial margin on a Eurodollar futures contract is $878 and the maintenance margin is $650 (the contract size is $1 million). If the contract price declines by 25 basis points, by how much do the long and short positions" margin balances change? Which position, if any, gets a margin call?

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Solution Preview :

Prepared by a verified Expert

Finance Basics: By how much do long positions margin balance change

Reference No:- TGS0674005

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

Q : Prepare the journal entry to charge the dishonored note

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Solution Preview :

Prepared by a verified Expert

Finance Basics: By how much do long positions margin balance change

Reference No:- TGS0674005

Recent Questions Asked Finance Basics

Q : Prepare the journal entry to charge the dishonored note

Q : Write differences between futures and forward markets

Q : Nothing is impossible in this world

Q : Compute basic and diluted eps

Q : By how much do long positions margin balance change

Q : Npv and irr of the project

Q : How to received the amount due from access

Q : What would be received in forward exchange market

Q : Determine the taxpayers gross income for tax

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