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2. Given the following historical data for stocks X and Y, calculate covariance and correlation coefficient of the two stocks. Year Annual returns (per cent)

2. Given the following historical data for stocks X and Y, calculate covariance and correlation coefficient of the two stocks. Year Annual returns (per cent) Y 1 6.2 3.6 4.5 -8.5 - 10.7 2 3 12.5 4 2.8 -5.6 5 1.3 9.4

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