0 Answer to Part 1 Year End of year price of stock 2010 14.9 2011 11.99 2012 8.5 2013 7.24 2014 9 2015 3.5 2016 6 2017 6.5 2018 6.2 2019 11.49 2020 13.2 Average Standard deviation Dividend per share of stock Value of ASX All Ordinaries Index 0 4846.9 4111 0 4664.6 0 5353.1 0 5388.6 0.17 5344.6 0.17 5719.1 0.17 6167.3 0.58 5709.4 0.88 6802.4 0.56 6850.6 Dividend yield of ASX All Ordinaries Index (%) Risk Free rate (%) 3.68 5.03 5.05 4.51 4.28 3.11 3.95 2.61 4.19 2.75 4.62 2.34 1.78 3.98 1.77 4.47 2.02 3.99 0.90 2.81 0.02 Inflation (%) 2.8 3.0 2.2 2.7 1.7 1.7 1.5 1.9 1.8 1.8 0.9 4.04 ? 5. Calculate the exact annual real return (2010-2020) for the stock in column L. 6. Calculate the exact annual real return (2010-2020) for the market in column M. 7. Calculate the exact annual real return (2010-2020) for the risk-free asset in column N. 0 Answer to Part 1 Year End of year price of stock 2010 14.9 2011 11.99 2012 8.5 2013 7.24 2014 9 2015 3.5 2016 6 2017 6.5 2018 6.2 2019 11.49 2020 13.2 Average Standard deviation Dividend per share of stock Value of ASX All Ordinaries Index 0 4846.9 4111 0 4664.6 0 5353.1 0 5388.6 0.17 5344.6 0.17 5719.1 0.17 6167.3 0.58 5709.4 0.88 6802.4 0.56 6850.6 Dividend yield of ASX All Ordinaries Index (%) Risk Free rate (%) 3.68 5.03 5.05 4.51 4.28 3.11 3.95 2.61 4.19 2.75 4.62 2.34 1.78 3.98 1.77 4.47 2.02 3.99 0.90 2.81 0.02 Inflation (%) 2.8 3.0 2.2 2.7 1.7 1.7 1.5 1.9 1.8 1.8 0.9 4.04 ? 5. Calculate the exact annual real return (2010-2020) for the stock in column L. 6. Calculate the exact annual real return (2010-2020) for the market in column M. 7. Calculate the exact annual real return (2010-2020) for the risk-free asset in column N