Yesterday, October 20, 2008 Alpha Clothing, Inc.negotiated a contract to buy 100,000 pounds of cotton on
December 15, 2008. It has been agreed that the price that will apply in the contract is the spot market price on December 15. Cotton spot price yesterday was 68.86 cents per pound and the cotton futures price on the New York Cotton Exchange (NYCE) for December delivery was 69.90 cents per pound. Each futures contract on NYCE is for delivery of 50,000 pounds.