You purchased a futures contract on corn at a futures price of 350 and at the time of expiration the price was 352.What was your profit or loss?
A)$2.00
B)-$2.00
C)$100
D)-$100
E)None of the above

Question

Quizplus · Accepted Answer

The profit is calculated as the difference between the expiration price and the purchase price, multiplied by the contract size. Assuming the contract size is 50 bushels (a common size), the profit is (352 - 350) * 50 = $100.

You Purchased a Futures Contract on Corn at a Futures