The total annual returns on large company common stocks averaged 11.8% from 1926 to 2009 small company stocks averaged 16.6%,long-term government bonds averaged 5.8%,while Treasury Bills averaged 3.7%.What was the average risk premium earned by long-term government bonds and small company stocks,respectively?
A) 1.8%; 11.9%
B) 2.1%; 12.9%
C) 4.4%; 13.9%
D) 9.5%; 1.8%
E) None of the above.
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