Use the Following Information to Answer Bellow Questions

Use the following information to answer bellow Questions
A company carries an inventory of corn at cost, $500,000. The inventory has a fair value of $525,000. The company hedges the inventory's value by selling commodity futures for delivery in 60 days for $525,000. There is no margin deposit. In 30 days, at the firm's year end, the futures price for delivery in 30 days is $530,000 and the inventory's fair value increased to $532,000.
-Assuming the futures are qualified hedges of the inventory, at what value does the firm report its corn inventory at year-end?

A) $530,000
B) $525,000
C) $532,000
D) $507,000