Multiple Choice
Which one of the following statements concerning U.S.Treasury bills is correct for the period 1926- 2010?
A) The annual rate of return always exceeded the annual inflation rate.
B) The average risk premium was 0.7 percent.
C) The annual rate of return was always positive.
D) The average excess return was 1.1 percent.
E) The average real rate of return was zero.
Correct Answer:
Verified
Correct Answer:
Verified
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