# Question: youve observed the following returns on yasmin corporations stock over...

###### Question details

You’ve observed the following returns on Yasmin Corporation’s
stock over the past five years: 20 percent, –12 percent, 17
percent, 20 percent, and 10 percent. Suppose the average inflation
rate over this period was 1.7 percent and the average T-bill rate
over the period was 4.6 percent.

**a.** What was the average real return on the
company's stock? **(Do not round intermediate calculations.
Enter your answer as a percent rounded to 2 decimal places, e.g.,
32.16.)**

Average real return ______ %

**b.** What was the average nominal risk premium on
the company's stock? **(Do not round intermediate
calculations. Enter your answer as a percent rounded**
**to 1 decimal place, e.g., 32.1.)**

Average nominal risk premium _______ %