Intro

Below are the expected returns for different asset classes for next year:

Asset class	Exp. return
T-bills	2%
Corporate bonds	4.5%
Small company stocks	17.1%
Large company stocks	13.2%

Part 1

What is the risk premium for corporate bonds? (4+ decimals)

Part 2

What is the risk premium for small company stocks? (3+ decimals)

Part 3

What is the risk premium for large company stocks? (3+ decimals)