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Consider the following table: Stock FundBond FundScenarioProbabilityRate of ReturnRate of ReturnSevere recession0.1034%9%Mild recession0.2020%5%Normal growth0.3021%9%Boom0.4036%6% a. Calculate the values of mean return and variance for the

Consider the following table:

Stock FundBond FundScenarioProbabilityRate of ReturnRate of ReturnSevere recession0.1034%9%Mild recession0.2020%5%Normal growth0.3021%9%Boom0.4036%6%

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

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

rev: 10_11_2013_QC_37085, 06_01_2017_QC_CS-87944, 06_30_2017_QC_CS-92609

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