Respuesta :
Answer:
profit = 137500
Explanation:
given data
futures price = 233.75
expiration price = 261.25
Bushels per contract = 5,000
solution
we get here profit that is express as
profit = ( expiration price - futures price ) × Bushels per contract
Profit = (261.25 - 233.75) × 5000
profit = 27.5 × 5000
profit = 137500
Answer:
$137,500
Explanation:
Given that,
Purchased a futures contract on oats at a futures price = $233.75
Bushels per contract = 5,000
Price at the time of expiration = $261.25
Therefore,
Profit Per Bushels:
= Price at the time of expiration - futures price
= $261.25 - $233.75
= $27.5 per bushel
Total Profit:
= Profit Per Bushels × Total bushels per contract
= $27.5 per bushel × 5,000
= $137,500
