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Determining the average nominal risk premium

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You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 7 percent, 13 percent, 16 percent, -8 percent, and 15 percent. Suppose the average inflation rate over this time period was 2.6 percent and the average T-bill rate was 3.1 percent. Based on this information, what was the average nominal risk premium?

Reference no: EM132881924

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