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 2012 Nominal Return (%) Inflation (%) 0.4 7.6

image text in transcribed

The following table shows the nominal returns on Brazilian stocks and the rate of inflation. Year 2012 Nominal Return (%) Inflation (%) 0.4 7.6 2013 -17.0 7.7 2014 -15.0 8.2 2015 2016 2017 -43.2 12.5 68.0 28.7 8.1 4.7 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.) Standard deviation % b. Calculate the average real return. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places) 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

Essentials of Investments

Authors: Zvi Bodie, Alex Kane, Alan Marcus

9th edition

78034698, 978-0077502287, 77502280, 978-0078034695

More Books

Students also viewed these Finance questions

Question

Using Gauss-Jordan elimination, invert this matrix ONLY 0 0 0 0 1

Answered: 1 week ago