Question

Luis bought stock at $67.30. The next day, the price increased $14.50. This new price changed by -3 3/4% the following day. What was the final stock price, rounded to the nearest cent?

Answer 1

The final stock price bought by Luis is $51.01.

Explanation:

The initial price of the stock = $67.50

The decrease in the price, next day = $14. 50

So, Price of the stock the next Day = Initial Amount - The reduced Amount

= $67.50 - $14. 50 = $53

or the amount of stock the next day = $53

Now, the new change in price of stock = -3 3/4%

3 3/4% = (3 + 3/4)% = 3.75%

Calculating 3.75% of $53

`(3.75)/(100)  * 53 =1.9875`

or, -3 3/4% is - $1.9875

So, the Final stock price = $53 - $1.9875

= $51.01

Hence, the final stock price bought by Luis is $51.01.