Suppose that you are a wheat farmer. Answer the following questions.

It is August, and you intend to have $50,000$ bushels of wheat harvested and ready to sell in November. The current spot market price of wheat is

per bushel, and the current December futures price of wheat is $$2\mathrm{.}70$ per bushel.

If each wheat futures contract is for $5,000$ bushels, how many contracts will you buy or sell?

You will

$10$ contracts. $($Enter your response as an integer.$)$

The total value of these futures contracts is $$135000.($Enter your response as an integer.$)$

It is now November, and you sell $50,000$ bushels of wheat at the spot price of $$2\mathrm{.}55$ per bushel. If the futures price is $$2\mathrm{.}80$ and you settle your position in the

futures market, what was your gain or loss on your futures market position?

The

on your futures market position was $$5,000.($Enter your response as an integer.$)$

The $]$ on your spot market position was $$.($Enter your response as an integer.$)$