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Suppose we have the following returns for large-company stocks and Treasury bills over a six year period: Year 3 Large Company US Treasury Bill 3.88
Suppose we have the following returns for large-company stocks and Treasury bills over a six year period: Year 3 Large Company US Treasury Bill 3.88 5.78 14.31 2.45 19.05 3.68 - 14.63 7.12 -32.12 4.92 37.29 4.89 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? Round to the nearest XX.XX%
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