Which of the following statements is correct? A short hedger's position worsens when the basis of the futures contract strengthens unexpectedly. The effective price paid in a long hedge is equal to the futures price at the hedge initiation plus the basis when the hedge is closed out. Arbitrageurs attempt to profit from their expectations of rising or falling prices. A perfect hedge guarantees a better outcome than an imperfect hedge. If there is no basis risk, the minimum variance hedge ratio is not equal to 1