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You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 6 percent, - 11 percent, 26 percent, 16 percent, and 15
You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 6 percent, - 11 percent, 26 percent, 16 percent, and 15 percent. The average inflation rate over this period was 3 percent and the average T-bill rate was 3.95 percent. Requirement 1: What was the average real return on Crash-n-Burn's stock? (Do not round intermediate calculations.) (Click to select) Requirement 2: What was the average nominal risk premium on Crash-n-Burn's stock? (Do not round intermediate calculations.) (Click to select)
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