Question: RA 3% + 0.7 RM + eA RB 1% + 0.9 RM + eB Market SD 35% R-SquareA 20% R-SquareB 12% Calculate the covariance between

RA 3% + 0.7 RM + eA
RB 1% + 0.9 RM + eB
Market SD 35%
R-SquareA 20%
R-SquareB 12%
Calculate the covariance between Stock A and Stock B?

A, .0384

B. .0406

C. .1920

D. .0772

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