What was the average nominal risk premium on crash-n-burns


You’ve observed the following returns on Crash-n-Burn Computer’s stock over the past five years: 14 percent, –14 percent, 16 percent, 26 percent, and 10 percent. Suppose the average inflation rate over this period was 3.5 percent and the average T-bill rate over the period was 4 percent. What was the average nominal risk premium on Crash-n-Burn’s stock?

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Financial Management: What was the average nominal risk premium on crash-n-burns
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