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llll . 4 . The following table shows the rate of returns for large company stocks and Treasury bills ( T - bills ) for

llll.4. The following table shows the rate of returns for large company stocks and Treasury bills (T-bills) for year 1970 through 1975:
Year Large co. stock return T-bill return
19703.94%6.50%
197114.304.36
197218.994.23
197314.697.29
197426.477.99
197537.235.87
(1) Please calc ulate the risk premium in each year for the large-company stocks versus the T-bills.
(2) What was the arithmetic average risk premium over this period? What was the standard deviation of the risk premium over this period?
(3) Is it possible for the risk premium to be negative before an investment is undertaken? Can the risk premium be negative after the fact? Explain.
note: Please dont give me no Chat GPD answers.
Prever Excel and please show the formula used in excel.
Thanks

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