Question

Yolanda purchased stock for $7,000 and paid a 1.5% broker fee. She sold it for $6,325 and paid a 0.5% broker fee. Compute her net proceeds.

Answer 1

$-748.38

Explanation:

Net proceeds = Total cost of selling the stock - Total cost of purchasing the stock

Total cost of purchasing the stock = $7000 + ($7000 x 0.015) = $7105

Total cost of selling the stock = $6,325 + ($6,325 x 0.005) = $6356.63

Net proceeds = $6356.63 - $7105 = $-748.38