Over the Past Ten Years,large-Company Stocks Have Returned an Average

Multiple Choice

Over the past ten years,large-company stocks have returned an average of 10.4 percent annually,long-term corporate bonds have earned 4.6 percent,and U.S.Treasury bills have returned 3.2 percent.How much additional risk premium would you have earned if you had invested in large-company stocks rather than long-term corporate bonds over those ten years?

A) 1.7 percent
B) 3.7 percent
C) 5.2 percent
D) 5.8 percent
E) 8.1 percent