Question: Chapter 12 Assignment 7 You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 15 percent, -15 percent, 17 percent, 27

Chapter 12 Assignment 7 You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 15 percent, -15 percent, 17 percent, 27 percent, and 10 percent. Suppose the average inflation rate over this period was 1.6 percent and the average T-bill rate over the period was 4.1 percent. 10 points a. What was the average real risk-free rate over this time period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.. 32.16.) b. What was the average real risk premium? (Do not round intermediate calculations eBook and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Print a. Average real risk-free rate 3% b Average real risk premium References

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