Assignment 3 PROBLEM 1: WarmUp question (3 points) As you are aware, your firm, the WarmUp Co., sells only winter hats and coffee mugs, at prices of $20 per hat and $10 per mug. Let / denote the number of hats you will sell this year, and let M denote the number of mugs you will sell this year. As before, you believe that... E(H) = 22,000 Var(H) = 9,000,000 E(M) = 8,000 Var(M) = 1,000,000 You also believe that H and M have a correlation coefficient of p(H,M) = 0.3. (a) What is the covariance of H and M, Cov(H,M)? (b) What is the standard deviation of your total revenue for the year