A gold$-$mining firm is concerned about short$-$term volatility in its revenues. Gold currently sells for $$1,195$ an ounce, but the price is extremely volatile and could fall as low as $$1,115$ or rise as high as $$1,275$ in the next month. The company will bring $1,000$ ounces to the market next month. $($Enter your answers in millions rounded to $2$ decimal places.$)$

a$.$ What will be total revenues if the firm remains unhedged for gold prices of $$1,115,$ $$1,195,$ and $$1,275$ an ounce?

Gold Price per Ounce Total Revenue

$$1,115$ million

$$1,195$ million

$$1,275$ million b$.$ The futures price of gold for delivery one month ahead is $$1,303.$ What will be the firm's total revenues at each gold price if the firm enters into a one$-$month futures contract to deliver $1,000$ ounces of gold?

Gold Price per Ounce Total Revenue

$$1,115$ million

$$1,195$ million

$$1,275$ millionb. The futures price of gold for delivery one month ahead is $$1,303.$ What will be the firm's total revenues at each gold price if the firm

enters into a one$-$month futures contract to deliver $1,000$ ounces of gold?

c$.$ What will total revenues be if the firm buys a one$-$month put option to sell gold for $$1,195$ an ounce? The put option costs $$117$ per

ounce.