Suppose we have the expected daily returns (in terms of U.S. dollars) standard deviations and correlations shown in the table below.U.S. German and Italian Bond ReturnsU.S. BondsGerman BondsItalian BondsExpected Return0.0290.0210.073Standard Deviation0.4090.6060.635Correlation MatrixU.S. BondsGerman BondsItalian BondsU S. Bonds10.090.10German Bonds10.70Italian Bonds1A. Using the data given above construct a covariance matrix for the daily returns on U.S. German and Italian bonds.B. State the expected return and variance of return on a portfolio 70 percent invested in U.S. bonds 20 percent in German bonds and 10 percent in Italian bonds.C. Calculate the standard deviation of return for the portfolio in Part B.