You purchased a futures contract on corn at a futures price of 331, and at the time of expiration, the price was 343. What was your profit or loss?

A) −$12.00
B) $12.00
C) −$600
D) $600

Question

You purchased a futures contract on corn at a futures price of 331, and at the time of expiration, the price was 343. What was your profit or loss?A)  −$12.00B)  $12.00C)  −$600D)  $600

Tayyab Mushtaq · Accepted Answer

Final Answer : D, Explanation :  Since you bought the futures contract at 331 and it expired at 343, you made a profit of 12 points. Each point in a corn futures contract represents $50, so your total profit is 12 * $50 = $600.

You purchased a futures contract on corn at a futures price of 331, and at the time of expiration, the price was 343. What was your profit or loss?

A) −$12.00
B) $12.00
C) −$600
D) $600

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