Question

Cynthia's broker charges her a commission of $88 for every $1000 of stock bought or sold. Cynthia bought 2,000 shares of

Ombor Medical Supplies at $35.49 apiece. As the price rose and fell, she sold off part of her holdings. When the price rose
to $48.57, she sold 600 shares. The price fell somewhat to $46.10, so she sold 1,150 of her shares. When the price climbed
to $53.46, she sold off the remainder of her holdings. How much profit did Cynthia make in total?
a. $9.889.82

Answer 1

Explanation:

so profit = revenue - expenses

her expenses are :

$ 88 for every $ 1000 of stock bought or sold

she bought 2000 shares...she sold 600 shares....she sold 1,150 shares...she sold the remainder...(2000 - (1150 + 600) = 250....so she sold 250 shares

so bought and sold shares = (2000 + 600 + 1150 + 250) = 4000 shares.

so her expenses = (88 * 4) = 352 for the broker.....plus the cost of the shares she bought (2000 * 35.49) = 70,980.....for total expenses = (70,980 + 352) = 71,332

revenue :

she sold 600 shares at 48.57 per share....(600 * 48.57) = 29,142

she sold 1150 shares at 46.10 per share...(1150 * 46.10) = 53,015

she sold 250 shares at 53.46 per share...(250 * 53.46) = 13,365

for a total of : (29,142 + 53,015 + 13,365) = 95,522

profit = revenue - expenses

p = 95,522 - 71,332 = 24,190 <==

Answer 2

A. $9,889.82

Explanation:

edgenuity:)