Question

You buy 200 shares at $15.25/share Your investment gains 10% the first year and then loses $1.00 share the

second year How much has your total investment increased by the second year?

Answer 1

First, calculate how much your investment gains in the first year:

200 shares * $15.25/share = $3,050
10% of $3,050 = $305

So, after the first year, your investment has increased to $3,050 + $305 = $3,355.

Next, calculate how much your investment decreases in the second year:

$1.00/share * 200 shares = $200

So, after the second year, your investment has decreased to $3,355 - $200 = $3,155.

Therefore, your total investment has increased by $3,155 - $3,050 = $105 by the second year.