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Math  /  Algebra

QuestionMULTIPLE CHOICE QUESTION
Using order of operations, what is the first step you sh carry out? ximple on livestment january 2021, you purchased one share of amestop stock for \192)Thenextmonth,youROI192) The next month, you ROI =\frac{\text { (selling price }- \text { purchased price) }}{\text { purchared price }} \times 100ellwiththeclosingpriceforthatdayat$40WhatwasyourROI?Howmuchmoneydidyouoseorgainwiththisstock? ell with the closing price for that day at \$40 What was your ROI? How much money did you ose or gain with this stock?  selling price =40 purchased price =192=(40−192)192×100\begin{aligned} \text { selling price } & =40 \\ \text { purchased price } & =192 \end{aligned} \quad=\frac{(40-192)}{192} \times 100 \qquad ∵=∵=∵=⋮=\begin{array}{l} \because= \\ \because= \\ \because= \\ \vdots= \end{array}$ Multiplication: Times 100 Division: Divide by 192 Parenthesis: 40 - 192
Rewatch Submit NGPF

Studdy Solution

STEP 1

What is this asking? We bought a stock, then sold it.
We need to figure out our *Return On Investment* (ROI) and how much money we made or lost. Watch out! Don't mix up the selling price and purchase price!
Also, a negative ROI means we lost money.

STEP 2

1. Calculate the difference between selling and purchase prices.
2. Divide the difference by the purchase price.
3. Multiply the result by 100 to express it as a percentage.
4. Calculate the total profit or loss.

STEP 3

Alright, let's **start** by finding the difference between what we sold the stock for and what we bought it for!
This is the first step in the ROI formula!
We sold it for $40\$40 and bought it for $192\$192.
So, the difference is: $40−$192=−$152 \$40 - \$192 = -\$152

STEP 4

Woahh, that's a negative number!
Don't worry, it just means we sold it for less than we bought it for.
Keep going!
This negative value represents our **loss** so far.

STEP 5

Now, we're going to take that difference, which is −$152-\$152, and **divide** it by the original purchase price, which was $192\$192.
This tells us how much we lost *relative* to our initial investment. −$152$192=−0.791666... \frac{-\$152}{\$192} = -0.791666... We'll keep a few extra decimal places for now to avoid rounding errors later.

STEP 6

To express this as a **percentage**, we just **multiply** by 100!
This is the standard way to represent ROI. −0.791666...⋅100=−79.1666...% -0.791666... \cdot 100 = -79.1666...\% So, our ROI is approximately −79.17%-79.17\%.

STEP 7

We already figured out the difference between the selling price and the purchase price, which was −$152-\$152.
This means we lost $152\$152!

STEP 8

Our ROI is approximately −79.17%-79.17\%.
We lost $152\$152 on this investment.

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