Question: Using the data from Problem 5, assume the model is now an Industry Index Model where I1 = Im and that I2 is now an

Using the data from Problem 5, assume the model is now an Industry Index Model where I1 = Im and that I2 is now an industry index. Assuming that firms A and B are in the same industry, calculate the covariance of returns.
In Problem 5
Using the data from Problem 5, assume the model is

915 1011 130 B3111 . A28 2002

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