Problem Corporate Finance Calculating Real Rates Given the information in Problem 10, what was the average real risk-free rate over this time period? What was the average real risk premium? Step-by-step solution Step 1 Collapse All The given data is summarized as: Year Returns on the stock 1 34% 2 16% 3 19% 4 -21% 5 8% Inflation rate = 4.2% Average T-bill rate = 5.1%