Needing the answers for the ones that are blank. Those are the ones I cannot fig

Question

Needing the answers for the ones that are blank. Those are the ones I cannot figure out.

Calculate the arithmetic average returns for large-company stocks and T-bills over this time period. Calculate the standard deviation of the returns for large-company stocks and T-bills over this time period. Calculate the observed risk premium in each year for the large-company stocks versus the T-bills. What was the arithmetic average risk premium over this period What was the standard deviation of the risk premium over this period

Explanation / Answer

2.-

year stock return deviation(stock) (deviation)2 treasury bill return deviation(treasury bill) (deviation)2

1 -16.59 -19.48 379.47 7.68 0.52 0.27

2 -27.04 -29.93 895.80 8.18 1.03 1.06

3 37.61 34.72 1205.48 6.25 -0.9 0.81

4 24.31 21.42 458.82 6.97 -0.18 0.03

5 -7.92 -10.81 116.86 5.64 -1.48 2.19

6 6.95 4.06 46.48 8.21 1.06 1.12

AR= 2.89 7.15 =3102.91 = 5.48

standard deviation= square root of (sumation of deviation)2 / no of years-1

standard deviation of stock= squareroot of 3102.91/6-1

squareroot of 620.58

24.91

standard deviation of treasury bill= square root of (sumation of deviation)2 / no of years-1

squareroot of 5.48/6-1

squareroot of 1.096

1.05

SORRY I DON'T KNOW THE ANSWER OF QUESTION 3

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