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jill bower purchased 340 shares of stock for $27 a share and sold it for $33 a share. the commissions required to buy and sell her stock totaled $250 for each transaction. assuming she received no dividends during the time she owned the stock, what is her total investment on the purchase of this stock?

User Dispute
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Final answer:

Jill Bower's total investment on the purchase of the stock is $21,200.

Step-by-step explanation:

Jill Bower purchased 340 shares of stock for $27 a share and sold it for $33 a share. The commissions required to buy and sell her stock totaled $250 for each transaction. To calculate her total investment on the purchase of this stock, we need to consider the cost of buying and selling the shares.

Cost of purchasing the stock = Number of shares * Price per share = 340 * $27 = $9,180

Cost of selling the stock = Number of shares * Price per share = 340 * $33 = $11,220

Total investment = Cost of purchasing + Cost of selling + Commissions on both transactions = $9,180 + $11,220 + ($250 * 2) = $21,200

Jill Bower's total investment on the purchase of the stock includes the cost of the shares plus the commission for purchasing them. To calculate this, we multiply the number of shares by the purchase price and then add the commission. Jill bought 340 shares at $27 a share, which amounts to $9,180. Adding the commission of $250 for the transaction, we get a total investment of $9,430.

User Peguerosdc
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