Question: Problem 10-16 Calculating Real Returns [LO 1] Consider the following table for a seven-year period: Returns Year U.S. Treasury Bills Inflation Year 1 4.10 %

Problem 10-16 Calculating Real Returns [LO 1]

Consider the following table for a seven-year period:

Returns Year U.S. Treasury Bills Inflation Year 1 4.10 % 1.28 % Year 2 3.95 2.42 Year 3 4.85 1.32 Year 4 5.27 0.74 Year 5 3.07 6.56 Year 6 1.95 9.48 Year 7 1.68 10.43

Required:

What was the average real return for Treasury bills for this time period? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Average real return %

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