Consider the following table:

Stock Fund

Bond Fund

Scenario

Probability

Rate of Return

Rate of Return

Severe recession

0.10

39%

12%

Mild recession

0.20

19%

18%

Normal growth

0.40

24%

11%

Boom

0.30

29%

8%

a. Calculate the values of mean return and variance for the stock fund. (Do not round intermediate calculations. Round "Mean return" value to 1 decimal place and "Variance" to 2 decimal places.)

Mean return		%
Variance		%-Squared

b. Calculate the value of the covariance between the stock and bond funds. (

Negative value should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)

Covariance %-Squared