Consider the following returns: Lowes Home Depot IBM Year-End Realized Realized Realized Return Return Return 20.1% -14.6% 0.2% 72.7% 4.5% -3.2% -25.7% -58.1% -27.0% 56.9% 71.8% 27.9% 6.7% 17.3% -5.1% 17.9% 0.9% -11.3% 2000 2001 2002 2003 2004 2005 The covariance between Lowes' and Home Depot's returns is closest to O 0.10 O 0.31 O 0.12 O 0.73

Consider the following returns: The covariance between Lowes' and Home Depot's returns is closest to 0.10 0.31 0.12 0.73