If the market price of fuel was 050 per gallon higher than, Microeconomics

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If the market price of fuel was 050 per gallon higher than

Southwest Airlines hedged the cost of jet fuel by purchasing options that allowed the airline to purchase fuel at a fixed price for 5 years. If the market price of fuel was $0.50 per gallon higher than the option price in year 1, $0.60 per gallon higher in year 2, and amounts increasing by $0.10 per gallon higher through year 5, what was the present worth of SWA's savings per gallon if the interest rate was 10% per year?

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