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Consider the following table: Scenario Severe recession Mild recession Normal growth Boom Probability e.05 0.25 2.4e 0.30 Stock Fund Rate of Return -33% -13% 18%

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Consider the following table: Scenario Severe recession Mild recession Normal growth Boom Probability e.05 0.25 2.4e 0.30 Stock Fund Rate of Return -33% -13% 18% 23% Bond Fund Rate of Return -12% 18% 11% -8% a.Calculate the values of mean return and variance for the stock fund. (Do not round intermediate value to 1 decimal place and "Variance" to 2 decimal places.) Answer is complete but not entirely correct. 92 Mean return Variance 3.00 b.Calculate the value of the covariance between the stock and bond funds. (Negati not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Covariance (0.69)

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