May ${20}^{th\text{:}}$ Producer plans to sell corn in early November. Currently the December corn futures are trading at $$4\mathrm{.}33.$ The expected basis is $-$$$0\mathrm{.}36.$

Does the producer have a long or short cash position?

To hedge: The producer will $($buy$/$sell$)$ Dec corn futures at $$\frac{4\mathrm{.}33}{?}$ bu$.$

What is the expected price? $$3\mathrm{.}97$ per bushel

Nov. ${10}^{th}$

The producer must sell $q,($buy$/$sell$)$ corn locally in the cash market at $$\frac{4\mathrm{.}18}{b}u.$

To offset their future pasition, they must $($buy$/$sell$)$ Dec futures at $$\frac{4\mathrm{.}67}{b}u.$

What is the actual basis? $-$ $$0\mathrm{.}49$ per bushel

What is the realized price for the producer?

Method $1$:

Method $2$:

The hedge resulted in a realized price of