Question

10. Jan purchased 140 shares of stock in the ABC Company at a price of $18.75 per share. During the

next three days, the value declined by $1.00, $1.75 and $1.50. What was the value of a share of ABC
stock at the end of three days?

Answer 1

`\bold{\huge{\orange{\underline{ Solution }}}}`

`\bold{\underline{ Given :- }}`

• Jan purchased 140 shares of stock in ABC company at a price of $18.75 per share
• During the next 3 days, the value of share declined by $1.00 , $1.75 and $1.50

`\bold{\underline{ To \: Find :- }}`

• We have to find the value of a share of ABC stock at the end of 3 days

`\bold{\underline{ Let's \: Begin :- }}`

According to the question,

Cost of 1 share of ABC company = $18.75

Therefore,

Cost of 140 shares purchased by Jan in the ABC company

`\sf{ = 140 × 18.75 }`

`\sf{ = 2625\: dollars }`

Now,

For next 3 days, the value of share declined

`\sf{ = (1 + 1.75 + 1.50)dollars }`

`\sf{ = 4.25 \: dollars }`

Therefore,

The value of shares after 3 days will be

`\bold{ = }{\bold{(2625 - 4.25)/( 140)}}`

`\bold{ = }{\bold{( 2620.75)/( 140)}}`

`\bold{\red{ = 18.75\: dollars}}`

Hence, The value of share after 3 days will be $18.75 .