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Suppose we have the following returns for large-company stocks and Treasury bills over a six-year period: Year Large Company US Treasury Bill 1 3.96 4.50

Suppose we have the following returns for large-company stocks and Treasury bills over a six-year period:

Year Large Company US Treasury Bill
1 3.96 4.50
2 14.12 4.88
3 19.01 3.80
4 14.67 6.96
5 32.16 4.88
6 37.26 6.14

c-2 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. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Standard deviation %

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