The single-index model for stock i is R; = 0.01+1.5Rm+ ei. The single-index model for stock j is R; = 0.02+0.8Rm+ ej. The standard deviation of the market return is om=0.2, the standard deviation of e; is Dei=0.3 and the standard deviation of ej is ej=0.4. 1. Calculate the systematic risk, firm-specific risk, and total risk of stock i. (see slides 7 and 8). 2. Calculate R, the fraction of the total risk that is attributable to the systematic risk for stock I (see slides 7 and 8). 3. Calculate the covariance between stocks i and j (see slide 10)