Question: Security A has expected return of 14% and standard deviation of 18%. Security B has expected return of 17% and standard deviation of 26%. If

Security A has expected return of 14% and standard deviation of 18%. Security B has expected return of 17% and standard deviation of 26%. If the two securities have a correlation coefficient of 0.5, what is their covariance?

Question 1 options:

7.22%.

None of the other answers.

34.62%.

1.19%.

2.34%.

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