Question: Use the table for the question(s) below. Consider the following returns: Year End Stock X Realized Return Stock Y Realized Return 2004 20.1% -14.6% 2005

Use the table for the question(s) below.

Consider the following returns:

Year End

Stock X

Realized Return

Stock Y Realized Return
2004 20.1% -14.6%
2005 72.7% 4.3%
2006 -25.7% -58.1%
2007 56.9% 71.1%
2008 6.7% 17.3%
2009 17.9% 0.9%

a) The covariance between Stock X's and Stock Y's returns is closest to:

b) The Correlation between Stock X's and Stock Y's returns is closest to:

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