Question

Adriana sold 50 shares of a company’s stock through a broker. The price per share on that day was $22.98. The broker charged her a 0.75% commission. What was Adriana’s real return after deducting the broker’s commission?

A.
$8.62
B.
$229.80
C.
$1,140.38
D.
$1,149.00

Answer 1

Answer:
C $1,140.38
Explanation:
We are given that Adriana sold 50 shares and that the price per share was $22.98
This means that:
Total value = 50 * 22.98 = $1149
Now, we know that the broker charged 0.75% commission on the total value
This means that:
Broker's charge = 0.75% * 1149 = 0.0075 * 1149 = $8.6175
Therefore,
Adriana's return = Total value - broker's charge
Adriana's return = 1149 – 8.6175 = $1,140.38