The stock of Company A lost $4.30 throughout the day and ended at a value of $103.20. By what percentage did the stock decline?

Answer 1

To find the percentage decline of the stock, you can use the following formula:

\[ \text{Percentage Decline} = \left( \frac{\text{Decline Amount}}{\text{Original Price}} \right) \times 100 \]

1. Calculate the original price of the stock before the decline:

   \[ \text{Original Price} = \text{Ending Price} + \text{Decline Amount} = 103.20 + 4.30 = 107.50 \]

2. Now, use the formula to calculate the percentage decline:

   \[ \text{Percentage Decline} = \left( \frac{4.30}{107.50} \right) \times 100 \]

3. Calculate the fraction:

   \[ \frac{4.30}{107.50} \approx 0.0400 \]

4. Multiply by 100 to find the percentage:

   \[ \text{Percentage Decline} \approx 0.0400 \times 100 = 4.00% \]

Therefore, the stock declined by approximately 4.00%.