The world’s Largest Sharp Brain Virtual Experts Marketplace Just a click Away
Levels Tought:
Elementary,Middle School,High School,College,University,PHD
| Teaching Since: | Apr 2017 |
| Last Sign in: | 418 Weeks Ago, 6 Days Ago |
| Questions Answered: | 3232 |
| Tutorials Posted: | 3232 |
MBA,MCS,M.phil
Devry University
Jan-2008 - Jan-2011
MBA,MCS,M.Phil
Devry University
Feb-2000 - Jan-2004
Regional Manager
Abercrombie & Fitch.
Mar-2005 - Nov-2010
Regional Manager
Abercrombie & Fitch.
Jan-2005 - Jan-2008
|
Suppose we have the following Treasury bill returns and inflation rates over an eight year period: |
| Year | Treasury Bills | Inflation |
| 1 | 8.44%Â Â Â Â Â Â Â | 10.21% Â Â Â Â Â Â Â |
| 2 | 9.27 Â Â Â Â Â Â Â Â Â | 13.75 Â Â Â Â Â Â Â Â Â Â |
| 3 | 7.05 Â Â Â Â Â Â Â Â Â | 8.20 Â Â Â Â Â Â Â Â Â Â |
| 4 | 6.17 Â Â Â Â Â Â Â Â Â | 5.88 Â Â Â Â Â Â Â Â Â Â |
| 5 | 6.63 Â Â Â Â Â Â Â Â Â | 7.96 Â Â Â Â Â Â Â Â Â Â |
| 6 | 8.90 Â Â Â Â Â Â Â Â Â | 10.36 Â Â Â Â Â Â Â Â Â Â |
| 7 | 11.70 Â Â Â Â Â Â Â Â Â | 14.49 Â Â Â Â Â Â Â Â Â Â |
| 8 | 13.40 Â Â Â Â Â Â Â Â Â | 14.05 Â Â Â Â Â Â Â Â Â Â |
| Â | ||
| a. |
Calculate the average return for Treasury bills and the average annual inflation rate for this period. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) |
| Â | Â |
| Â Â Treasury bills | % |
| Â Â Inflation | % |
| Â | |
| b. |
Calculate the standard deviation of Treasury bill returns and inflation over this period. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) |
| Â | Â |
| Â Â Treasury bills | % |
| Â Â Inflation | % |
| Â | |
  Â
| c. |
What was the average real return for Treasury bills over this period? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) |
| Â Â Average real return | % |
Hel-----------lo -----------Sir-----------/Ma-----------dam----------- T-----------han-----------k Y-----------ou -----------for----------- us-----------ing----------- ou-----------r w-----------ebs-----------ite----------- an-----------d a-----------cqu-----------isi-----------tio-----------n o-----------f m-----------y p-----------ost-----------ed -----------sol-----------uti-----------on.----------- Pl-----------eas-----------e p-----------ing----------- me----------- on----------- ch-----------at -----------I a-----------m o-----------nli-----------ne -----------or -----------inb-----------ox -----------me -----------a m-----------ess-----------age----------- I -----------wil-----------l