How is the yen dollar value per point calculated?
A. The dollar value per point varies depending on the yen level at which a position is liquidated. For example, at 120.00 yen per dollar: 12,500,000 (contract size) / 120.00 (liquidation price) = $104,166.66. $104,166.66 x 120.01 (liquidation price plus one point to determine the dollar effect of one point) = 12,501,040. 12,500,000 (original yen amount) – 12,501,040 (new yen amount at exit) = 1,040(difference) 1,040/120.00 = $8.67 per point.
