Suppose you are an oil dealer and hold a position of 1 million barrels of crude oil. You hedge by trading futures each of which is on 10,000 barrels. However, you consider the effects of marking to market to be sufficient to justify tailing the hedge. The hedge will be on for 60 days. The interest rate is 8.5 percent. You plan to hold the hedge all the way to the expiration date. Determine the number of contracts you should sell at the beginning of the hedge.