Use the data in the tables below to answer the following questions:

Average rates of return on Treasury bills, government bonds, and common stocks, 19002013.

Portfolio		Average Annual Rate of Return		Average Premium (Extra return versus Treasury bills)
Treasury bills		3.9
Treasury bonds		5.2		1.3
Common stocks		11.5		7.6

Standard deviation of returns, 19002013.

Portfolio		Standard Deviation, %
Treasury bills		2.8
Long-term government bonds		8.9
Common stocks		19.9

a.	What was the average rate of return on large U.S. common stocks from 1900 to 2013? (Enter your answer as a percent rounded to 1 decimal place.)

Average rate of return

%

b.	What was the average risk premium on common stocks? (Enter your answer as a percent rounded to 1 decimal place.)

Average risk premium

%

c.	What was the standard deviation of returns on common stocks? (Enter your answer as a percent rounded to 1 decimal place.)

Standard deviation of returns