RA 2% + 1.2 RM + eA RB 3% + 0.7 RM + eB Market SD...

RA	2%	+	1.2	RM	+	eA
RB	3%	+	0.7	RM	+	eB

Market SD	20%

R-SquareA	30%
R-SquareB	12%

Calculate Covariance between stock A and Market?

		0.0257
		0.0325
		0.0480
		0.0540

Expert Solution

jeff jeffy answered 1 month ago

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