n NISM Certifications
X NISM Series X
Medium

Mr. Vaibhav bought a Nifty futures contract at Rs 18,250, and the settlement price was Rs 18,100. With a lot size of 50, what is the MTM profit/loss?

Practice question from NISM Series XA- Investment Adviser (Level 1) Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Rs 7,500 profit

  2. Rs 7,500 loss

    Correct answer

  3. C

    Rs 5,000 loss

  4. D

    No profit or loss

Why this is the answer

MTM = (Settlement – Purchase) × Lot size = (18,100 – 18,250) × 50 = –7,500.

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