n NISM Certifications
NSM General NISM
Medium

If the Treasury bill futures contract price changes by 500 ticks, the change in value of one futures contract is ________.

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

Options

  1. A

    500

  2. B

    5

  3. 2500

    Correct answer

  4. D

    5000

Why this is the answer

Tick size = 0.0025, face value = Rs 200,000, so minimum change per tick = 5. Change for 500 ticks = 500 × 5 = 2500.

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