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Last year, Kurt invested $1,000 in ABC stock, $1,000 in long-term government bonds, and $1,000 in U.S. Treasury bills. Over the course of the year,

Last year, Kurt invested $1,000 in ABC stock, $1,000 in long-term government bonds, and $1,000 in U.S. Treasury bills. Over the course of the year, he earned returns of 10.3 percent, 8.8 percent, and 5.8 percent, respectively. What is the risk premium that Kurt received on his ABC stock investment?

A. 1.50 percent B. 3.00 percent C. 4.50 percent D. 6.00 percent E. 10.5 percent

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