Question: PLEASE ANSWER. I REALLY NEED HELP (30 points) There are two underlying assets in an asset pool. Each has a five percent changes of failing.

PLEASE ANSWER. I REALLY NEED HELP

  1. (30 points) There are two underlying assets in an asset pool. Each has a five percent changes of failing. You own an asset that will pay $1 unless both assets fail. Graph the probability of your asset not paying as the correlation between the two input assets runs between -0.5 and 0.9. For what levels of correlation is your asset investment grade?

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