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Calculate the covariance between the returns of stock

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Question 1: Given the returns and probabilities for the three possible states listed here, calculate the covariance between the returns of Stock A and Stock B. For convenience, assume that the expected returns of Stock A and Stock B are 0.12 and 0.17, respectively. (Round your answer to 4 decimal places. For example .1244)

Reference no: EM132490854

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