document.write( "Question 827084: The rate of return of certain investments increases as the risk factor of the investment increases. An investment with a risk factor of 2 has a rate of return of 5.0%. An investment with a risk factor of 15 has a rate of return of 14.0%. What is the average rate of return per unit of risk? Round to the nearest hundredth if necessary. \n" ); document.write( "
Algebra.Com's Answer #498432 by stanbon(75887)\"\" \"About 
You can put this solution on YOUR website!
The rate of return of certain investments increases as the risk factor of the investment increases.
\n" ); document.write( "---------------------
\n" ); document.write( "\"An investment with a risk factor of 2 has a rate of return of 5.0%
\n" ); document.write( "-------
\n" ); document.write( "An investment with a risk factor of 15 has a rate of return of 14.0%.
\n" ); document.write( "--------
\n" ); document.write( "You have 2 points relating rf and rr:: (2,0.05) and (15,0.14)
\n" ); document.write( "---------------\r
\n" ); document.write( "\n" ); document.write( " What is the average rate of return per unit of risk? Round to the nearest hundredth if necessary.
\n" ); document.write( "---------
\n" ); document.write( "average = (0.14-0.05)/(15-2) = 0.09/13 = 0.0069
\n" ); document.write( "================================================
\n" ); document.write( "Cheers,
\n" ); document.write( "Stan H.
\n" ); document.write( "====================
\n" ); document.write( " \n" ); document.write( "
\n" );