Question: ompute the covariance and the correlation for the following example: . Three scenarios (1,2,3) with respective probabilities (20%,30%, and 50%). Two stocks: Apple and GM.

 ompute the covariance and the correlation for the following example: .

ompute the covariance and the correlation for the following example: . Three scenarios (1,2,3) with respective probabilities (20%,30%, and 50%). Two stocks: Apple and GM. Apple's and GM's returns for the three scenarios are (5%,5%,0%) and (3%,4%,2%), respectively

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