Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please show your work and don't round til the end. Suppose we have the following Treasury bill returns and inflation rates over an eight year
Please show your work and don't round til the end.
Suppose we have the following Treasury bill returns and inflation rates over an eight year peniod: Year Treasury Bills Inflation 9 47% 10.35 8.08 7.15 7.66 9.98 12.83 14.63 11 32% 14.93 9.28 6.81 9.04 11.49 15.67 15.53 a. Calculate the average return for Treasury bills and the average annual inflation rate for this period. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g, 32.16.) Treasury bills Inflation 10020% 11 76 % b. Calculate the standard deviation of Treasury bill returns and inflation over this period. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g. 32.16.) Treasury bills Inflation 259 @% 334 % c. What was the average real return for Treasury bills over this period? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Average real return 1-1364 ,96Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started