A combined account is an account that contains both long and short positions in it. To calculate the combined equity within the account, calculate the equity of both the long and short positions and add them together.
A return metric which shows how much an investor earned on his or her invested capital. The equity multiple (EMx) is calculated by dividing the sum of all capital inflows (capital distributions) by the sum of all capital outflows (capital contributions).
Method 2: Add the percentages as decimals. Step 1: Convert each percentage to its decimal equivalent by dividing it by 100. Step 2: Add the decimals together: 0.35 + 0.52 = 0.87. Step 3: Convert the result back to a percentage by multiplying by 100 and adding a % sign: 0.87 x 100 = 87%.
A return metric which shows how much an investor earned on his or her invested capital. The equity multiple (EMx) is calculated by dividing the sum of all capital inflows (capital distributions) by the sum of all capital outflows (capital contributions).