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medium · CFA Level I Quantitative Methods

In a covariance matrix provided for Kestrel Grid, the diagonal entries represent variances, while the off-diagonal entries represent covariances.

If an off-diagonal entry is 45 and the corresponding diagonal entries are 100 and 144, the correlation coefficient is:

  1. 0.3125
  2. 0.3750
  3. 0.0031

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