Apex company purchase 10 Oil Future contracts with delivery in 6 months. Each contract was for 5,000 barrels with a price of $85 per barrel and a margin requirement of $42,500 per contract. The market price per barrel at the close of the 6 months is $87. How much per barrel with Apex pay for the oil? $85 $87 $42.50

Apex company purchase 10 Oil Future contracts with delivery in 6 months. Each contract was for 5,000 barrels with a price of $85 per barrel and a margin requirement of $42,500 per contract. The market price per barrel at the close of the 6 months is $87. How much per barrel with Apex pay for the oil? $85 $87 $42.50

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter16: Working Capital Policy And Short-term Financing

Section: Chapter Questions

Problem 22P

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