You own one futures contract on gold that you purchased at a quoted price of 1,402.0. The current price quote is 1,500.2. The contract size is 100 ounces and the quotes are expressed in dollars and cents per ounce. What is your current profit or loss on this investment?
A)$160.30
B)$1,912.00
C)$9,820.00
D)$16,030.00
E)$19,120.00

Question

Quizplus · Accepted Answer

The profit is calculated by taking the difference between the current price and the purchase price, then multiplying by the contract size. Here, (1500.2 - 1402.0) * 100 = 98.2 * 100 = $9,820.

You Own One Futures Contract on Gold That You Purchased