Management buys 200 2007 day Eurodollar time deposit futures contracts trading at an index price of 96. Interest rates decline as anticipated and your firm offsets its position by selling 200 contracts at an index price of 96.5. What type of hedge is this? What before tax profit or loss is realized from the futures position?

A. Long futures hedges, 3,750 profit

B. Short futures hedge, 750k loss

C. Long futures hedge, no profit or loss

D. Long futures hedge, 750k profit.