Given That Futures Contracts on the Japanese Yen Are Traded

question 76

True/False

Given that futures contracts on the Japanese yen are traded in units of 12.5 million yen and are quoted in cents per yen, it follows that a Japanese yen contract quoted at 01.171 would be worth $14,637,500.

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Definitions:

Straight Line Depreciation

A strategy for dividing the cost of a material asset into equal yearly portions throughout its estimated useful duration.

Salvage Value

The estimated residual value of an asset after its useful life has ended.

Marriage Penalty

In the tax system, the phenomenon that a two-income married couple pays more tax than the sum of two single people making the same money.

Two-Income Married Couples

Households in which both spouses earn income from employment.