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Consider the following table: Stock Fund Rate of Return Probability 0.10 0.20 0.40 0.30 Bond Fund Rate of Return 12% 18% 11% 8% Scenari Severe
Consider the following table: Stock Fund Rate of Return Probability 0.10 0.20 0.40 0.30 Bond Fund Rate of Return 12% 18% 11% 8% Scenari Severe recession Mild recession Normal growth Boom 39% -19% 24% 29% b. Calculate the values of mean return and variance for the stock fund. (Do calculations. Round "Mean return" value to 2 decimal place and "Variance Mean return 10.6 % Variance Calculate the value of the covariance between the stock and bond funds. indicated by a minus sign. Do not round intermediate calculations. R decimal places.) Covariance
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