Question: What is the correlation between Stocks A and C ? State of Economy Probability of Occurrence Stock A Expected Return Stock B Expected Return Stock

What is the correlation between Stocks A and C ?

State of Economy Probability of Occurrence Stock A Expected Return Stock B Expected Return Stock C Expected Return
Boom 25% 15% 30% -12%
Stable 55% 7% 10% 3%
Recession 20% -12% -35% 25%

Select one

A 0.75

B 0

C -0.99

d)0.99

E) 0.54

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