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Consider the following information on different asset classes from 1926 through 2017 Series Arithmetic Mean Large-company stocks 12.1% Small-company stocks 16.5 Long-term corporate bonds 6.4
Consider the following information on different asset classes from 1926 through 2017 Series Arithmetic Mean Large-company stocks 12.1% Small-company stocks 16.5 Long-term corporate bonds 6.4 Long-term government bonds 6.0 Intermediate-term government 5.2 bonds U.S. Treasury bills 3.4 Inflation 3.0 5 a. What was the arithmetic average annual return on large company stocks in nominal terms? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.. 32.16.) b. What was the arithmetic average annual return on large-company stocks in real terms? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) a. Nominal return % b. Real retum %
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