On January 1, the Listed Spot and Futures Prices of a Treasury

question 18

Multiple Choice

On January 1, the listed spot and futures prices of a Treasury bond were 93.80 and 93.25. You purchased $100,000 par value Treasury bonds and sold one Treasury bond futures contract. One month later, the listed spot price and futures prices were 94 and 94.50, respectively. If you were to liquidate your position, your profits would be a

• A) $1050 loss.
• B) $1050 profit.
• C) $1250 loss.
• D) $1250 gain.
• E) None of the options are correct.

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Definitions:

Ego

In psychoanalytic theory, the part of the personality that mediates between the desires of the id and the constraints of the external world.

Group Therapy

A form of psychotherapy involving one or more therapists working with several people at the same time.

Overly Shy

An extreme form of shyness characterized by a very high level of discomfort or anxiety in social situations.

Client-Centered Therapy

Carl Rogers’s method of psychotherapy, which emphasizes the creation of a warm, therapeutic atmosphere that frees clients to engage in self-exploration and self-expression.