USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)

question 83

Multiple Choice

USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
Assume that you observe the following prices in the T-Bill and Eurodollar futures markets

-Refer to Exhibit 15.6. Assume that a month later the price of the September T-Bill future is 96.25 and the price of the Eurodollar future is 95.9. Calculate the profit on the T-Bill futures position.

• A) 101 basis points
• B) 130 basis points
• C) -101 basis points
• D) -130 basis points
• E) 29 basis points

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