Question
Youve observed the following returns on Crash-n-Burn Computers stock over the past five years: 3 percent, 14 percent, 27 percent, 16 percent, and 16 percent.
| Youve observed the following returns on Crash-n-Burn Computers stock over the past five years: 3 percent, 14 percent, 27 percent, 16 percent, and 16 percent. The average inflation rate over this period was 4 percent and the average T-bill rate was 6.15 percent. |
| What was the average real return on the company's stock? |
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| What was the average nominal risk premium on the company's stock? |
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Handbook Of Alternative Assets
Authors: Mark J. P. Anson
2nd Edition
047198020X, 978-0471980209
