Churchill Downs expects to purchase 50,000 bushels of oats in April. In October, when the spot price of oats was $2.35 /bushel, the feed manager hedged 80% of his expected purchase with May futures at 235.

Oats contracts are defined as 5000 bushels/c and trade in cents/bushel.

In April Churchill Downs needs 36,000 bushels of oats to feed all the horses in residence. The spot price of oats is now $2.46 /bushel and the basis is now 0.0000.

The profit (loss) on the futures position is $ _______

The revenue (expenditure) on the spot market is $ _________

The net revenue (expenditure) is $ _____________

The effective price per bushel is $ _____________