Assume that the consensus required rate of return on common stocks is 14 percent. In addition, you read in Fortune that the expected rate of inflation is 6 percent and the estimated long-term real growth rate of the economy is 4 percent. What interest rate would you expect on U.S. government T-bills? Round your answer to two decimal places.

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What is the approximate risk premium for common stocks implied by these data? Do not round intermediate calculations. Round your answer to two decimal places.

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