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Assume these are the stock market and Treasury bill returns for a 5-year period: Year 2016 2017 2018 2019 2020 Stock Market Return (%) 32.10 11.30 -2.00 13.40 21.70 Required: a. What was the risk premium on common stock in each year? b. What was the average risk premium? c. What was the standard deviation of the risk premium? (Ignore that the estimation is from a sample of data.) Required A Required B Required C Complete this question by entering your answers in the tabs below. Year 2016 2017 2018 2019 2020 T-Bill Return (*) 0.05 What was the risk premium on common stock in each year? Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Negative values should be entered with a negative sign. Risk Premium % 0.05 0.05 0.23 0.25 % %

Required A Required B Required C What was the average risk premium? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Average risk premium < Required A Required C >

Required A Required B Required C What was the standard deviation of the risk premium? (Ignore that the estimation is from a sample of data.) Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Standard deviation % < Required B Required C >