Question

Jen bought 30 shares of eBay at the close price of $20.95. She bought 20

more shares a year later at the price of $25.50. Two years later, she sold all of
her shares at the price $28.75. If her broker charges $30 for each transaction,
how much money will Jen have after all of her transactions?

A. $1387.50

B. $1409.50

c. $1407.50

D. $1437.50

Answer 1

The answer is: C. $1407.50

Explanation:

Buying:

30 * $20.95 + 20 * $25.50 =

$628.50 + $510 = $1138.

Selling:

50 * $28.75 = $1437.50

Remaining Cash:

$1437.50 - $30 = $1407.50

(This answer assumes Jen paid the other $30 per transaction when she bought the original shares, but had to pay $30 when she sold the shares.)