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Problem 10-11 Calculating Real Rates You've observed the following returns on SkyNet Data Corporation's stock...

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Problem 10-11 Calculating Real Rates You've observed the following returns on SkyNet Data Corporation's stock over the past five years: 15 percent, 15 percent, 17 percent, 27 percent, and 10 percent. Suppose the average inflation rate over this period was 1.6 percent and the average T-bill rate over the period was 4.1 percent. What was the average real risk-free rate over this time period? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) What was the average real risk premium? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) X Answer is complete but not entirely correct. 1.96 % Average real risk-free rate Average real risk premium 7.10 %

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