A financial analyst is examining the sensitivity of stock A's returns to various macroeconomic factors. The factor betas for stock A have been determined as follows: βindustrial production = 1.30, βinterest rate = -0.75

Currently, the analyst assumes a 3.0% increase in industrial production and an interest rate of 1.5%. Under these conditions, the expected return for stock A is 5.0%. The economic research team is forecasting an improvement in economic conditions for the upcoming year, predicting a 4.2% rise in industrial production and a 25 basis points increase in interest rates to 1.75%. Considering these new projections, what is the expected return for stock A in the next year?