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Suppose we have the following returns for large-company stocks and Treasury bills over a six year period: Calculate the arithmetic average returns for large-company stocks
Suppose we have the following returns for large-company stocks and Treasury bills over a six year period: Calculate the arithmetic average returns for large-company stocks and T-bills over this period (Round your answers to 2 decimal places, (e.g.. 32.16)) Calculate the standard deviation of the returns for large-company stocks and T-bills over this period. (Do not round intermediate calculations and round your final answers to 2 decimal places, (e.g., 32.16)) Calculate the observed risk premium in each year for the large-company stocks versus the T-bills. What was the average risk premium over this period? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations and round your final answer to 2 decimal places, (e.g.. 32.16)) Calculate the observed risk premium in each year for the large-company stocks versus the T-bills. What was the standard deviation of the risk premium over this period? (Do not round intermediate calculations and round your final answer to 2 decimal places, (e.g.. 32.16))
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