Question

What is the rate of return when 15 shares of StockA, purchased for $30/share, are sold for $500? Thecommission on the sale is $6.Rate of Return = [?] %Give your answer as a percent rounded to the

Answer 1

Answer:

Rate of return = 12.4 %

Explanations:

Cost per share = $30

Number of shares = 15

Cost price = 30 x 15

Cost price = $450

Selling price = $500

Commission = $6

Total return = $500 + $6

Total return = $506

`\begin{gathered} \text{Rate of Return = }(506-450)/(450)*100 \\ \text{Rate of Return = }(56)/(450)*100 \\ \text{Rate of Return = }12.4\text{ \%} \end{gathered}`