Question

Noah bought stock in a company two years ago that was worth x dollars. During the first year that he owned the stock, it increased by 31%. During the second year the value of the stock increased by 15%. Write an expression in terms of x that represents the value of the stock after the two years have passed.

Answer 1

1.5065x

Explanation:

x + (0.31x) + 0.15(1.31x)

x is the initial amount, 0.31x is the 31% of the original amount, and we're adding that. The 15% earned the next year is on the new total of what he had after that first bump...x + 0.31x = 1.31x

Simplify:

x + (0.31x) + 0.15(1.31x)

= 1.31x + 0.1965x

=1.5065x