Calculate the amount of money


Problem:

On March 29, 2011, Mike purchased a futures contract on silver for $6.07/ounce. The size of the contract is 5,000 ounces of silver. The initial margin requirement is 10%. Over the next three days, the price of silver futures changed as follows:

  • Day-------Price
  • 1-----------$6.10
  • 2-----------$6.09
  • 3-----------$6.03

Requirement:

Question: Calculate the amount of money in Mike's account at the end of each day.

Note: Please describe comprehensively and provide step by step solution.

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Finance Basics: Calculate the amount of money
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