An investor has an account with stock from two different companies. Last year, his stock in Company A was worth $4600 and his stock in Company B was worth $1000. The stock in Company A has increased 25% since last year and the stock in Company B has increased 22%. What was the total percentage increase in the investor's stock account? Round your answer to the nearest tenth (if necessary).

you can first factor out the n to get n(1+5). we know that 1+5 is 6, so we just have 6n.

345

step-by-step explanation:

required rate of return = 0.166 = 16.6%

step-by-step explanation:

under the capital asset pricing model (capm), the required or expected rate of return for a particular security or asset is given using the formula:

required rate of return = risk-free rate + beta*(market risk premium)

we are given that;

risk-free rate = 4% = 0.04

beta = 1.4

market risk premium = 9% = 0.09

we simply plug these values into the above formula;

required rate of return = 0.04 + 1.4*(0.09)

required rate of return = 0.04 + 0.126

required rate of return = 0.166 = 16.6%