Question: For this assignment, you will answer the questions below and submit an Excel spreadsheet of your solutions. Problem 3 Suppose an airline has a contract

For this assignment, you will answer the questions below and submit an Excel spreadsheet of your solutions.

Problem 3

Suppose an airline has a contract to pay a fixed rate of $4.75 a gallon for a proportion of its fuel needs. If, at the payment period, the price of fuel is $5.15 per gallon, how much has the airline saved if the swap contract was for 250,000 gallons?

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