On 1 September 2016, Blair Ltd purchases for speculative purposes a 90-day bank accepted bill futures contract at 87.50. The contract has a face value of $1 million. On that

date, Blair makes an initial cash margin deposit of $30 000 with its broker. Blair holds the

contract until 1 December 2016, when it closes out the contract. The quoted market price

of the futures contract increases during September (to 88.00) and October (to 88.20) and

declines in November (to 87.80).

Required

Prepare the general journal entries for Blair for the months of September, October and

November 2016. (LO8)