Chapter 10, 4

Consider the following information for a period of years: Series Arithmetic Mean Long-term corporate bonds 8.0 % Long-term government bonds 7.9 Inflation 3.5

What is the real return on long-term government bonds? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Real return % :

What is the real return on long-term corporate bonds?

(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Real return % :