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Below are the expected returns for different asset classes for next year: Asset class Exp. return T-bills 1.2% Corporate bonds 6.5% Small company stocks 15.6%
Below are the expected returns for different asset classes for next year:
Asset class | Exp. return |
T-bills | 1.2% |
Corporate bonds | 6.5% |
Small company stocks | 15.6% |
Large company stocks | 10.2% |
Attempt 1/5 for 10 pts.
Part 1
What is the risk premium for corporate bonds?
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Attempt 1/5 for 10 pts.
Part 2
What is the risk premium for small company stocks?
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Attempt 1/5 for 10 pts.
Part 3
What is the risk premium for large company stocks?
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