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Company Xs stock return over the past six years: 19 %, -13%, 7%, 25%, 16%, and 8%. Suppose the average inflation rate over the period
Company Xs stock return over the past six years: 19 %, -13%, 7%, 25%, 16%, and 8%. Suppose the average inflation rate over the period was 2.6% and the average T-bill rate over the period was 3.25%. What was the average real return and nominal risk premium on the companys stock?
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