n NISM Certifications
NSM General NISM
Medium

A trader buys 40 lots of USDINR futures at 49; the settlement price is 49.60. Profit or loss?

Practice question from NISM Series I - Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Profit of 2400

  2. B

    Loss of 2400

  3. Profit of 24000

    Correct answer

  4. D

    Loss of 24000

Why this is the answer

(49.60 - 49) × 40 × 1000 = 24,000.

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