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The index model has been estimated for stocks A and B with the following results: RA= 0.12 +0.650RM + EA RB=0.04 + 1.480 RM+ eB

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The index model has been estimated for stocks A and B with the following results: RA= 0.12 +0.650RM + EA RB=0.04 + 1.480 RM+ eB OM=0.310 Olex) = 0.20 Oleg) = 0.10 What is the covariance between each stock and the market index? (Round your answers decimal places.) Stock A covariance Stock B covariance

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