Question

THE ANSWER IS NOT 16.9%

An investor has an account with stock from two different companies. Last year, her stock in Company A was worth $580 and her stock in Company B was worth $5950. The stock in Company A has increased 5% since last year and the stock in Company B has increased 18%. What was the total percentage increase in the investor's stock account? Round your answer to the nearest tenth (if necessary).

Answer 1

Answer: Let's first calculate the increase in value for each stock:

The stock in Company A increased by 5%, which is 0.05 x $580 = $29.

The stock in Company B increased by 18%, which is 0.18 x $5950 = $1071.

The total increase in the investor's stock account is the sum of the individual increases, which is $29 + $1071 = $1100.

To find the percentage increase, we need to divide the total increase by the initial value of the account, which is $580 + $5950 = $6530:

percentage increase = (total increase / initial value) x 100%

percentage increase = ($1100 / $6530) x 100%

percentage increase ≈ 16.8%

Rounding to the nearest tenth, the total percentage increase in the investor's stock account is approximately 16.8%.

Explanation: