Youve observed the following returns on crash-n-burn

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You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 5 percent, -13 percent, 24 percent, 16 percent, and 14 percent. The average inflation rate over this period was 3.4 percent and the average T-bill rate was 5.45 percent.

Requirement 1:

What was the average real return on Crash-n-Burn's stock? (Do not round intermediate calculations.)

Requirement 2:

What was the average nominal risk premium on Crash-n-Burn's stock?

Reference no: EM13622854

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