Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following table shows the nominal returns on Brazilian stocks and the rate of inflation. Year Nominal Return (%) Inflation (%) 2012 0.1 7.8 2013

The following table shows the nominal returns on Brazilian stocks and the rate of inflation.

Year Nominal Return (%) Inflation (%)
2012 0.1 7.8
2013 -15.0 7.9
2014 -13.0 8.4
2015 -43.4 12.7
2016 68.2 8.3
2017 28.9 4.9

a. What was the standard deviation of the market returns? (Use decimals, not percents, in your calculations. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

b. Calculate the average real return.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Finance For Dummies

Authors: Ayse Evrensel

1st Edition

111852389X, 978-1118523896

More Books

Students also viewed these Finance questions