Question 1117802
Suppose that you have ​$14,000 in a rather risky investment recommended by your financial advisor. During the first​ year, your investment decreases by 60​% of its original value. During the second​ year, your investment increases by 70​% of its​ first-year value. Your advisor tells you that there must have been a 10​% overall increase of your original ​$14,000 investment. Is your financial advisor using percentages​ properly? If​ not, what is your actual percent gain or loss of your original ​$14 comma 000 ​investment? 
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start:: 14000
aft 1 yr:: 0.4*14000 = 5600
aft 2 yr:: 5600+0.7*14000 = 15400
Note:: 10%*14000 = 1400 ; 14000+1400 = 15400
Advisor is correct.
Cheers,
Stan H.
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