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How do you find the market risk premium, and mutaul fund risk premium? Is my stock risk premium correct? - o x Sam Youngblood 8

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How do you find the market risk premium, and mutaul fund risk premium? Is my stock risk premium correct?
- o x Sam Youngblood 8 Chapter 11 Finance-319 Homework - Saved File Home Insert Draw Formulas Data Review View B I U D A A 3 3 al sq 123 Al Al 47 0 B Sensitivity A B C D E F G H I J K L M Master it! Solution Month/Year Risk-free rate Mutual fund return 4 S&P 500 return Market risk premium a. Stock return Stock risk premium Mutual fund risk premium 12/31/2009 1/4/2010 2/1/2010 3/1/2010 4/1/2010 5/3/2010 6/1/2010 7/1/2010 8/2/2010 9/1/2010 10/1/2010 11/1/2010 12/1/2010 1/3/2011 2/1/2011 3/1/2011 Mutual fund S&P 500 Stock price price IBM FMAGX 1115.10 $ 116.28 $ 49.44 1073.87 $ 108.72 $ 47.28 1104.49 $ 113.46 $ 48.70 1169.43 $ 114.44 $ 51.93 1186.69 $ 115.11 $ 52.71 1089.41 $ 112.34 $ 48.44 1030.71 $ 110.75 $ 45.30 1101.60 $ 115.16 $ 47.60 1049.33 $ 110.98 $ 44.78 1141.20 $ 120.90 $ 49.63 1183.26 $ 129.43 $ 51.42 1180.55 $ 128.07 $ 52.12 1257.64 $ 132.86 $ 55.60 1286.12 $ 146.66 $ 56.50 1327.22 $ 147.13 $ 58.85 1325.83 $ 148.21 $ 58.61 0.0017 0.0050 0.0100 0.0125 0.0125 0.0067 0.0133 0.0125 0.0100 0.0117 0.0108 0.0075 0.0117 0.0092 0.0050 -3.70% 2.85% 5.88% 1.48% -8.20% -5.39% 6.88% -4.74% 8.76% 3.69% -0.23% 6.53% 2.26% 3.20% -0.10% 2.85% -6.50% 4.36% 0.86% 0.58% -2.40% -1.42% 3.98% -3.63% 8.94% 7.05% -1.05% 3.75% 10.38% 0.32% 0.74% 4.61% -4.37% 3.01% 6.63% 1.50% -8.10% -6.47% 5.06% -5.92% 10.83% 3.61% 1.36% 6.66% 1.62% 4.16% -0.40% 2.51% -3.86% 2.35% 4.88% 0.23% -9.45% -6.05% 5.54% -5.99% 7.76% 2.52% -1.31% 5.78% 1.10% 2.28% -0.60% 2.60% 2.35% 4.88% 0.23% -9.45% -6.05% 5.54% -5.99% 7.76% 2.52% -1.31% 5.78% 1.10% 2.28% -0.60% 2.60% Chapter 11 Section 11.2 Section 11.4 Section 11.8 Return Data Master it! Solution = 9:36

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