Prk Company has the following securities in its portfolio of trading equity investments on December 31, 2018: Cost Fair Value 6,000 ordinary shares of Kel Corp. $186,000 $166,800 12,000 ordinary shares of Ret 218,400 228,000 $404,400 $394,800 All of the investments had been purchased in 2018. In 2019, Prk completed the following investments transactions: May 31 Sold 6,000 ordinary shares of Kel Corp., @ $32 with commissions, taxes, and fees of $2,000. July 20 Bought 720 ordinary shares of Yel Stores, @ $44 plus direct fees of $1,380. The Prk Company portfolio of trading equity investments appeared as follows on December 31, 2019: Cost Fair Value 10,000 ordinary shares of Gant $218,400 $234,600 720 ordinary shares of Yel Stores 33,060 30,600 $251,460 $265,200 c. Suppose that the CEO, John Bath, of the company is afraid that Gant ordinary shares may fall in the next quarter. (9 marks) (i) How would you suggest Mr. Bath to hedge against this risk by using derivative financial instrument? How and why? Explain clearly. (3 marks) (ii) How does a traditional financial instrument differ from a derivative financial instrument? Explain clearly. (6 marks)