Southwest Airlines has one of the longest hedging practices in the airline industry. Their hedging practice can either contribute to the company's profit or reduce the company's profit, depending on how the futures price move against their hedged position. In the summer of $2008,$ they entered into a long position of $10,000$ contracts of $6-$month WTI futures $(1,000$ barrels per contract$).$ The contract price was $$98$ a barrel. Oil price went as high as $$147$ a barrel and as low as $$38$ a barrel during the contract period. They closed out their position at $$45\mathrm{.}1.$ What was the highest profit$/$loss the firm's hedging position generated during that time?$2.$ How much did the firm make$/$lose when they closed out their position at $$45$ a barrel?$3.$ Given how volatile the hedged position can be$,$ should they abandon their hedging practice?Discuss.