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1. Coles, one of the two giant supermarkets in Australia, sells in-house baked bread, cakes and pastry. Thus, it has to purchase a reasonable amount

1. Coles, one of the two giant supermarkets in Australia, sells in-house baked bread, cakes and pastry. Thus, it has to purchase a reasonable amount of wheat every month. Amid recent rising wheat prices, it is looking for a way to protect itself. Suggest TWO possible derivatives contracts for Coles to hedge against price risk. Which one would be the best for Coles? Detailed Explaination and Examples are needed.

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