n NISM Certifications
NSM General NISM
Medium

Ms. Reshma buys 20 lots of USDINR 1-month futures at ₹61.80/₹61.90 and squares off 5 lots after a week when the price is ₹62.65/₹62.75. What is her gain or loss on the squared-off part?

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

Options

  1. A

    Loss of ₹4,350

  2. B

    Profit of ₹2,500

  3. C

    Profit of ₹4,950

  4. Profit of ₹3,750

    Correct answer

Why this is the answer

Bought at ask = ₹61.90, sold at bid = ₹62.65, profit per unit = ₹62.65 - ₹61.90 = ₹0.75. Total profit = 0.75 × 5 × 1000 = Rs 3,750.

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