Let us assume you have two stocks with the following probabilities of return: P(0.5, -0.5) 4P(0.5, 0.5) = 0.2, P(-0.5, 0.5) = 0.15, P(-0.5, -0.5) = -0.25. 1. What is going to be the probability of the first stock returning 0.5? 2. What is going to be the probability of the second stock returning -0.5? 3. If X is the outcome of the first stock and Y is the outcome of the second stock what is : P(X = 0.5|Y = -0.5)? 5. 1. Calculate Var(X) from the previous problem 2. Calculate Var(Y) from the previous problem 3. Calculate Cou(X,Y) from the previous problem. 6 Assume that you thrown coin with probabilities of 1 for 0,1. Let us assume you have two stocks with the following probabilities of return: P(0.5, -0.5) 4P(0.5, 0.5) = 0.2, P(-0.5, 0.5) = 0.15, P(-0.5, -0.5) = -0.25. 1. What is going to be the probability of the first stock returning 0.5? 2. What is going to be the probability of the second stock returning -0.5? 3. If X is the outcome of the first stock and Y is the outcome of the second stock what is : P(X = 0.5|Y = -0.5)? 5. 1. Calculate Var(X) from the previous problem 2. Calculate Var(Y) from the previous problem 3. Calculate Cou(X,Y) from the previous problem. 6 Assume that you thrown coin with probabilities of 1 for 0,1