1) Suppose a Eurodollar time deposit futures contract has a duration of 0

1)

The computation of the change in future contract market price is shown below;;

But before that we determined the following amounts

Bond maturity value is

= Present value * (1 + interest rate)^years

= $980,000 * (1+0.06)^0.25

= $994,380.40

Now

Market value at 5% yield is

= Future value / (1 + interest rate)^years

= $994,380.40 / (1 + 0.05)^0.25

= $982,325

So, change in value is

= $982,325 - $980,000

= $2,325

2)

Topic : Outlook of Financial Strees in the Global Energy Industry

Reson for this Topic:

The Oil sector is considered to be one of the important areas of concern in today's world scenerio. Most financial statement analyses focus on firm belonging to industries that either contribute significantly to economic figures like firms are in oil industry. The objective of the topic will be, analyze comparative financial performance of the global oil companies.