Suppose that in September 2015 a company takes a long position in a contract on May 2016 crude oil futures. It closes out its position in March 2016. The futures price (per barrel) is \(\$ 88.30\) when it enters into the contract, \(\$ 90.50\) when it closes out its position, and \(\$ 89.10\) at the end of December 2015. One contract is for the delivery of 1,000 barrels. What is the company's total profit? When is it realized? How is it taxed if it is

(a) a hedger and

(b) a speculator? Assume that the company has a December 31 year-end.