Question

The price of Stock A at 9 A.M. was 16.01$. Since​ then, the price has been increasing at the rate of 0.08$ each hour. At noon the price of Stock B was 16.51​$. It begins to decrease at the rate of ​0.08$ each hour. If the two rates​ continue, in how many hours will the prices of the two stocks be the​ same? pLEASE HELP

Answer 1

Explanation:

stock A started at 9am with $16.01.

it increased by $0.08 every hour.

stock B started at noon (12pm) with $16.51

and it decreases by $0.08 every hour.

so, in order to let them run "side by side", we need to align them to the same starting point. best is 12pm.

stock A then starts the "race" at 12pm with $16.01 + 3×$0.08 = $16.25

because 12pm is 3 hours after 9am, and so stock A increased in this time by 3×$0.08.

let's call the time in hours they "run" side by side h.

so, we are trying to find the value of h when both prices are the same :

16.25 + 0.08×h = 16.51 - 0.08×h

0.08×h = 0.26 - 0.08×h

0.16×h = 0.26

h = 0.26/0.16 = 26/16 = 13/8 = 1 5/8 = 1.625 hours.

so, 1.625 hours after 12pm they will have the same price.