AWAN co

Hi SIR

for futures profit/loss the answer given by kaplan kit is

If interest rates decrease by 0.9% to 3.19%
Investment return (from above) = $478,400
Expected futures price = 100 – 3.19 – 0.46 = 96.35
Gain on the futures market = (0.9635 – 0.9476) × $2,000,000 × 3/12 × 32 = $254,400
Net return = $732,800
Effective annual interest rate (as above) = 4.58.

1) why did they use “0.9635-0.9476” ie they seemed to have used tick of 0.01 when the question clearly doesnt sugeest any ticks?
2) i know in your lectures u mentioned u dont use ticks… but as per my answer

(94.76-96.35)* 2m*3/12*32=ull get profits 25.44m as gain whih i know is not possbile..so can u suggest how to find gain without using ticks here as most solutions in kaplan is using ticks here