Find what was the market risk premium during ten years

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Problem 1: Suppose that the average annual return on the Standard and Poor's 500 Index from 1969 to 2005 was 14.8 percent. The average annual T-bill yield during the same period was 5.6 percent. What was the market risk premium during these 10 years? Please OVER-explain so that a complete novice can understand what you did and replicate the solution. Be sure to provide any formulas used along with instructions on how to use them. Please clearly label things, as well.

Reference no: EM132763205

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