An Investor Bought a March S&P 500 Index Futures Contract

Multiple Choice

An investor bought a March S&P 500 Index futures contract in December for $1,490.05. After six months the contract value went down to $1,466.00. The contract has a multiplier of 250. With an initial margin of $20,000, and a $16,000 maintenance margin requirement, would there be a call for more margin?

A) No, the account would have an excess of $2,012.50
B) Yes, an additional $3,677.19 would be required
C) No, the account would have exactly enough cash for margin
D) Yes, an additional $2,012.50 would be required
E) No, the account would have an excess of $3,677.19