1. Today you bought (long) a Eurodollar futures contract (contract size: $1 million) at 96.54. Two days later you sold the contract at 96.74. As a result

a) you received $500 in cash and paid $1 million to the buyer.

b) you paid $500 in cash and received $1 million from the buyer.

c) you received $500 in cash and closed your position on the futures contract.

d) you paid $500 in cash and closed your position on the futures contract.

2. Which of the following represent potential tax gains from an acquisition?

I. A reduction in the level of debt

II. An increase in surplus funds

III. The use of net operating losses

IV. An increased use of leverage

I and IV only

II and III only

III and IV only

I and III only