n NISM Certifications
XIII NISM Series XIII
Medium

A trader has taken a short position of one contract in September ABC futures (Contract Multiplier 50) at a price of Rs. 1200. When he closed this position after some days, he realised that he had made a profit of Rs. 8000. Identify the action which would have enabled him to generate this profit of Rs. 8000.

Practice question from NISM Series XIII for SIF - Mock Test 4 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Selling one September ABC futures contract at Rs. 1040

  2. B

    Selling one September ABC futures contract at Rs. 1080

  3. Buying one September ABC futures contract at Rs. 1040

    Correct answer

  4. D

    Buying one September ABC futures contract at Rs. 1080

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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