b. 0.732 c. 0.864 d. 0.997 e. Need more information to calculate this ratio. 12. The standard deviation of monthly changes in the spot price of oil is 1.20 The standard deviation of monthly changes in the futures price of oil for the December contract is 1.40. The correlation between the futures price chang and the spot price changes is 0.70. It is now October 15. An oil consumer committed to buying 210,000 gallons of oil on November 15. The consum wants to use the December contract to hedge risk. Each futures contract is 42,000 gallons. How can the consumer make a minimum variance hedge ? a. Long 1 December oil futures contract. b. Long 2 December oil futures contracts. c. Long 3 December oil futures contracts. d. Long 4 December oil futures contracts. e. Long 5 December oil futures contracts