You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 6 percent, -
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Question:
You've observed the following returns on Crash-n-Burn Computer's stock over the past five years:
6 percent, -
13 percent,
19 percent, 31 percent,
and 14 percent.
Suppose the average inflation rate over this period was 3.9 percent and the average T-bill rate over the period was 4.5 percent.
What was the average real return on Crash-n-Burn's stock?
Related Book For
Corporate Finance Core Principles and Applications
ISBN: 978-0077905200
3rd edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford
Posted Date: