1. Calculate the covariance between stock A and stock 194 2. What is the general equation for variance of a portfolio of 5 securities, stock a, b, c, d, and e? Calculate the covariance between stock A and stock B. Economy Worst Bad Normal Good Best Prob. 5% 25% 40% 40% 12% 25% 14% I 8 T 16% Stock A Stock B 10% 4% 12 20% 28% 1. Calculate the covariance between stock A and stock 194 2. What is the general equation for variance of a portfolio of 5 securities, stock a, b, c, d, and e? Calculate the covariance between stock A and stock B. Economy Worst Bad Normal Good Best Prob. 5% 25% 40% 40% 12% 25% 14% I 8 T 16% Stock A Stock B 10% 4% 12 20% 28%