Please use this table to answer the question Aviation Fuel Spot Price at end of March Gasoline Futures Price at the end of March for the Contract maturing mid June Crude Oil Futures Price at the end of March for the Contract maturing mid June 2003 $0 4821 $0 5417 $18 53 2004 $0 4798 $0 4911 $16 98 2005 $0 5452 $0 6467 $19 50 2006 $0 5345 $0 6415 $20 57 2007 $0 5805 $0 6479 $19 48 2008 $0 5405 $0 6155 $19 58 2009 $0 6119 $0 6119 $20 64 2010 $0 4821 $0 4762 $14 90 2011 $0 5131 $0 5760 $18 95 2012 $0 6031 $0 6350 $20 15 2013 $0 6060 $0 6272 $20 42 2014 $0 3893 $0 5238 $15 94 2015 $0 4595 $0 5388 $16 73 2016 $0 7083 $0 8155 $26 38 2017 $0 6714 $0 8992 $26 57 2018 $0 6262 $0 8285 $26 37 2019 $0 7352 $0 9335 $29 19 Use the 2013 through 2018 data in the table above to determine an answer to the following question If you were to establish a futures hedge on 31 12 2018 in an attempt to hedge the US$ cost of your company March 2019 aviation fuel purchases by trading in only one of the gasoline or the crude futures contracts maturing in mid June, then (1) which contract would you trade and why, and (2) how many contracts of the chosen type would you trade

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Question: Please use this table to answer the question. Aviation Fuel Spot Price at end of March Gasoline Futures Price at the end of March for

Please use this table to answer the question.

	Aviation Fuel Spot Price at end of March	Gasoline Futures Price at the end of March for the Contract maturing mid-June	Crude Oil Futures Price at the end of March for the Contract maturing mid-June
2003	$0.4821	$0.5417	$18.53
2004	$0.4798	$0.4911	$16.98
2005	$0.5452	$0.6467	$19.50
2006	$0.5345	$0.6415	$20.57
2007	$0.5805	$0.6479	$19.48
2008	$0.5405	$0.6155	$19.58
2009	$0.6119	$0.6119	$20.64
2010	$0.4821	$0.4762	$14.90
2011	$0.5131	$0.5760	$18.95
2012	$0.6031	$0.6350	$20.15
2013	$0.6060	$0.6272	$20.42
2014	$0.3893	$0.5238	$15.94
2015	$0.4595	$0.5388	$16.73
2016	$0.7083	$0.8155	$26.38
2017	$0.6714	$0.8992	$26.57
2018	$0.6262	$0.8285	$26.37
2019	$0.7352	$0.9335	$29.19

Use the 2013 through 2018 data in the table above to determine an answer to the following question:

If you were to establish a futures hedge on 31/12/2018 in an attempt to hedge the US$ cost of your company March 2019 aviation fuel purchases by trading in only one of the gasoline or the crude futures contracts maturing in mid-June, then:

(1) which contract would you trade and why, and

(2) how many contracts of the chosen type would you trade?

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