Consider the following information on different asset classes from 1926 through 2020. Series Large-company stocks Small-company stocks Long-term corporate bonds Long-term government bonds Intermediate-term government bonds U.S. Treasury bills Inflation Arithmetic Mean 12.2% 12.20 % 3.50 % 16.2 6.5 6.1 5.3 3.3 2.9 a. What was the arithmetic average annual return on large-company stocks in nominal terms? Note: 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 arithmetic average annual return on large-company stocks in real terms? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Answer is complete but not entirely correct. a. Nominal return b. Real return

Consider the following information on different asset classes from 1926 through 2020 a. What was the arithmetic average annual return on large-company stocks in nominal terms? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.9., 32.16. b. What was the arithmetic average annual retum on large-company stocks in real terms? Note: Do not round intermediate caiculations and enter your answer as a percent rounded to 2 decimal places, e.9.-32.16