3. You have investments in assets A and B. You have equal chances of earning either 24...

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3. You have investments in assets A and B. You have equal chances of earning either 24 per cent or 12 per cent or 6 per cent on A and either 33 per cent or 9 per cent or -6 per cent on B under three different economic situations. Calculate () expected return and variance of the expected return for A and B: (ii) covariance of the expected returns of A and B.

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