The profit from a futures contract is the difference between the initial futures price and the spot price at expiration.

Question

Quizplus · Accepted Answer

This is correct. The profit from a futures contract is calculated by taking the difference between the initial futures price and the spot price at expiration. If the spot price is higher than the initial futures price, the profit will be positive, and if it is lower, the profit will be negative.

The Profit from a Futures Contract Is the Difference Between