Use the following information to answer Part E

State of Economy	Probability	ABC Company Expected Return	XYZ Company Expected Return
Very Poor	0.30	-9%	-19%
Poor	0.25	-8%	-6%
Good	0.15	8%	9%
Very Good	0.30	34%	33%
Expected Return		6.70%	4.05%

A) Calculate the covariance of the portfolio. (2 Mark) Please answer as a decimal to 4 decimal places