4. Use the information below to answer the following questions. Stock AAPL C DE FMC Factor Exposures Residual b b, Variance 0.8 - 1.0 0.10 -1.0 0.0 0.05 -0.5 0.6 0.16 0.0 1.0 0.36 Factor Covariance Matrix factor factor 2 factor 0.04 0.02 factory 0.02 0.09 a. According to two-factor risk model, what is the covariance between C and FMC? b. Find the 4-by-4 covariance matrix consistent with the two-factor risk model. 4. Use the information below to answer the following questions. Stock AAPL C DE FMC Factor Exposures Residual b b, Variance 0.8 - 1.0 0.10 -1.0 0.0 0.05 -0.5 0.6 0.16 0.0 1.0 0.36 Factor Covariance Matrix factor factor 2 factor 0.04 0.02 factory 0.02 0.09 a. According to two-factor risk model, what is the covariance between C and FMC? b. Find the 4-by-4 covariance matrix consistent with the two-factor risk model