Question

You invest $1,000 in a fund. you check your statement at the end of april and you have lost 13%. when the statement for may comes, you see you have gained 13% in may. what is the value of your account? round to the nearest dollar.

Answer 1

It will simply want 983

Explanation:

Answer 2

Given:
Principal investment = $1,000

$1,000 (Original investment) x .13 (Percentage loss) = $130
Balance for April = $1,000 - $130 = $870

$870 (Beginning balance in May) x .13 (Percentage gain) = $113.1
Ending value for May = $870 + $113.1 = $983.10

The value of your account is $983.10 as of the end of May.