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You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 5 percent, -13 percent, 28 percent, 20 percent, and 17 percent.
You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 5 percent, -13 percent, 28 percent, 20 percent, and 17 percent. The average inflation rate over this period was 3.8 percent and the average T-bill rate was 4.3 percent. What was the average real return on the company's stock? What was the average nominal risk premium on the company's stock
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