2. Consider the following table: Scenario Severe recession Mild recession Normal growth Boom Probability 0.10 0.20 0.40 0.30 Stock Fund Rate of Return -39% - 19% 24% 29% Bond Fund Rate of Return -12% 18% 11% -8% a.) Calculate the values of mean return and variance for the stock fund. Hint: Use a weighted average of the scenario and the stock fund rate of return for each scenario to get the mean return. Use the formula and example in the chapter six slides to calculate the variance between the stock and bond funds. I b.) Calculate the value of the covariance between the stock and bond funds. Hint: Use the formula and example in the chapter six slides to calculate the covariance between the stock and bond funds