Complete the tables in the excel spreadsheet (please refer to the attached image) for next month gold prices of $1,200, $1,300, and $1,400 using the same hedging strategies as shown in the video (details duplicated below).

A gold mining firm is concerned about short-term volatility in its revenue. Gold currently sells for $1,300 an ounce, but the price is extremely volatile and could fall as low as $1,200 or rise as high as $1,400 in the next month. The company will bring 1,000 ounces to the market next month.

The futures price of gold for 1-month-ahead delivery is $1,300. What would be the firms total revenue at each gold price if the firm enters a 1-month futures contract to sell 1,000 ounces of gold?

What will be the total revenue if the firm buys a 1-month put option to sell gold for $1,300 per ounce? The puts cost $20 per ounce.

Table 1 Hedging with Future:s Gold Price /ounce in cash market one ater 1200 1300 1400 Rev from selling gold in cash market Profit/loss from futures Total revenue /ounce Total revenue /1,000 ounce Table 2 Hedging with Options old /ounce in cash market one month 1200 1300 1400 Rev from selling gold in cash market Value of put cost of put premium Total revenue/ ounce Total revenue / 1000 ounces