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Use the following table of returns from 1926 through 2020: Series Average return Large-company stocks 12.2% Small-company stocks 16.2 Long-term corporate bonds 6.5 Long-term government
Use the following table of returns from 1926 through 2020:
Series | Average return |
---|---|
Large-company stocks | 12.2% |
Small-company stocks | 16.2 |
Long-term corporate bonds | 6.5 |
Long-term government bonds | 6.1 |
U.S. Treasury bills | 3.3 |
Inflation | 2.9 |
Determine the return on a portfolio that was equally invested in large-company stocks and long-term corporate bonds.
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.
What was the return on a portfolio that was equally invested in small stocks and Treasury bills?
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.
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