ueston 5 Not yet answered Marked out of 10.00 Rag question a) Briefly explain the basic idea on how the variance process is updated using the GARCH (1,1) model. 2 lines please). b) Suppose that the price of an asset at close of trading yesterday was $250 and its volatility was estimated as 1.23% per day. The price at the close of trading today is $248 Update the volatility estimate using The EWMA model with = 0.90 (The GARCH(1,1) model with e=0.000012, a = 0.14, and p = 0.66