A petrochemical firm will purchase 100,000 barrels of oil in 4 months and is concerned about the uncertainty in the price it will have to pay. The firm can use either forward contract or options on oil to hedge its risk. Assume the strike price of the option is the same as the forward price. Please specify both hedging strategies and explain. Please show firms total payoff in 4 months in a payoff table and graph the payoff for both hedging strategies (use notations such as S0, ST, K, F0, etc.). Please list the difference of using option to hedge vs. using forward contract.