23% decline.
This can be calculated by dividing 1,650,000 by 2,150,000, resulting in 0.7674. By multiplying this figure by 100, we arrive at 76.74%.
Yet, this represents the proportion that 1,650,000 constitutes of 2,150,000. Hence, we need to subtract this number from 100, yielding 23.26, or rounded to 23%.
$0.20 Explanation: To determine the adjustment in the future price, the initial step is calculating the loss, as follows: Loss = Initial Margin - Maintenance Margin = $4,000 - $3,000 = $1,000. The future price adjustment will then be Loss divided by the size of the contract, returning to $1,000 ÷ 5,000 ounces = $0.20. Thus, the future price rises by $0.20. If the margin call isn't satisfied, the broker will step in at the maximum price to prevent additional losses.
