A Ltd is considering to run a corn business for three years. The initial investment is $50,000. The company plans to sell 100 metric tonnes of corn each year for the next three years. The current price of corn is $202 per metric tonne. Cost of growing corn is constant at $100,000 per year during the project life. Assume no depreciation expenses and taxes. The cost of capital for this project is 10%. The forward price curve for the price per metric tonne of corn spanning the next three years when the corn business would be in production is as follows:

Year 1	$190/metric tonne
Year 2	$204/metric tonne
Year 3	$200/metric tonne

1. What is the corn company NPV using the certainty-equivalent valuation methodology over its three-year productive life?
2. Option and futures contracts are both referred to as derivative contracts because the values of both types of contracts are derived from the value of underlying assets on which the contract is based. However, options and futures are different. Discuss their differences.