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You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 12 percent. -9 percent. 20 percent. 17 percent, and 10 percent.
You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 12 percent. -9 percent. 20 percent. 17 percent, and 10 percent. Suppose the average inflation rate over this period was 3.2 percent and the average T-bill rate over the period was 4.9 percent. . What was the average real return on the company's stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 3216.) b. What was the average nominal risk premium on the company's stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 1 decimal place, e.g., 321.) a. Average real return b. Average nominal risk premium %
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