Diwali Airlines Has a Contract That Gives It the Opportunity

Multiple Choice

Diwali Airlines has a contract that gives it the opportunity to purchase up to 10 000 000 gallons of jet fuel at $2.00 per gallon. The current market price of jet fuel is $2.26 per gallon. Diwali believes it will only need 6 000 000 gallons of jet fuel. What is the value of this opportunity?

A) $9 040 000
B) $2 600 000
C) $1 040 000
D) $1 560 000