A 6-month forward contract for corn exists with a price of $1.70 per bushel. If Farmer Donald decides to hedge his 20,000 bushels of corn with the forward contract, what is his profit or loss if spot prices are $1.65 or $1.80 when he sells his crop in 6 months? His total costs are $33,000.

a) $1,000 gain or $1,000 loss

b) $0 gain or $3,000 gain

c) $0 loss or $3,000 loss

d) $1,000 gain or $1,000 gain