Question: You've observed the following returns on Pine Computer's stock over the past five years: 17 percent. -15 percent, 19 percent, 29 percent, and 10 percent
You've observed the following returns on Pine Computer's stock over the past five years: 17 percent. -15 percent, 19 percent, 29 percent, and 10 percent Suppose the average Inflation rate over this period was 2.6 percent and the average T-bill rate over the period was 4.3 percent 2. What was the average real return on the company's stock? (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 nominal risk premium on the company's stock? (Do not round Intermediate calculations and enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) a. Average real retum b. Average nominal risk premium % %
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