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8. Average returns and standard deviation (S7.2) The following table shows the nominal returns on Brazilian stocks and the rate of inflation. A. What was
8. Average returns and standard deviation (S7.2) The following table shows the nominal returns on Brazilian stocks and the rate of inflation. A. What was the standard deviation of the market returns? (Do not make the adjustment for degrees of freedom described in footnote 12.) B. Calculate the average real return. Year 2015 2016 2017 2018 2019 2020 Nominal Return (%) -41.4 66.2 26.9 15.0 32.6 2.1 Inflation (%) 10.7 6.3 2.9 2.7 3.7 3.7
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