It is now January 29, 2021. A company knows that it has to buy 10000 barrels of crude oil on March 15, 2021. The company's treasurer decides to use ten April 2021 futures contracts to hedge the price the company has to pay on March 15, 2021 (each contract is on 1000 barrels of crude oil).

Today on January 29, 2021, the crude oil spot price is $52 per barrel, and the April futures price is $50 per barrel.

Suppose on March 15, 2021, the treasurer will close out her position at an April futures price of $51 per barrel. Assume also that the spot price of crude oil on March 15 will be $50 per barrel.

Given this scenario, on March 15

1) What will be the basis (in USD per barrel)?

2) What will be her profit or loss on the futures contract (in USD per barrel)?

3) what will be the total amount of money the treasurer will effectively pay in USD (including her hedging position) for the 10000 barrels?