A Trader Buys a 90-Day Eurodollar Futures Contract at 95

Multiple Choice

A trader buys a 90-day Eurodollar futures contract at 95.25. The next day, interest rates fall to 4.5%. Which of the following is true? Assume that the initial and maintenance margins are $5,000.

A) The trader would have to deposit an additional $5,000 into her account.
B) The trader would have to deposit an additional $2,500 into her account.
C) The trader would have to deposit an additional $625 into her account.
D) The trader could withdraw $2,500 from her margin account.
E) The trader could withdraw $625 from her margin account.