Hello, this is a two-step question. If you are unable to answer both requirements of the question, please do not respond. Thank you so much for helping!

Youve observed the following "nominal" returns on Crash-n-Burn Computers stock over the past five years: 2 percent, -13 percent, 26 percent, 21 percent, and 17 percent. The average inflation rate over this period was 3.8 percent and the average T-bill rate was 4.8 percent.

Requirement 1:

What was the average "real" return on Crash-n-Burns stock? Note: Use the Fisher Effect Formula from the Bond chapter to convert nominal to real rates of return. (Do not round intermediate calculations.)

(Click to select) 6.88% 6.55% 6.22% 14.80% 7.21%

Requirement 2:

What was the average nominal risk premium on Crash-n-Burns stock? (Do not round intermediate calculations.)

(Click to select) 5.28% 5.80% 4.12% 0.66% 4.70%