Question
Youve observed the following returns on Crash-n-Burn Computers stock over the past five years: 11 percent, 11 percent, 18 percent, 23 percent, and 10 percent.
Youve observed the following returns on Crash-n-Burn Computers stock over the past five years: 11 percent, 11 percent, 18 percent, 23 percent, and 10 percent. Suppose the average inflation rate over this period was 2 percent and the average T-bill rate over the period was 3.1 percent.
What was the average real risk-free rate over this time period?
| What was the average real risk premium? |
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The Social Profit Handbook
Authors: David Grant
1st Edition
1603586040, 978-1603586047
