Question

In 2010, Joe bought 200 shares in the Nikon corporation for $22.07 per share. In 2016 he sold the shares for $15.11each.

a. What was Joe's capital loss?
b. Express Joe's capital loss as a percent, rounded to the nearest percent.

Answer 1

a. $1392

b. 31.5%

Explanation:

a. What was Joe's capital loss?

Cost price = $22.07 × 200 = $4414

Selling price = $15.11 × 200 = $3022

Capital loss = $3022 - $4414

= -$1392

b. Express Joe's capital loss as a percent, rounded to the nearest percent.

= Capital loss/Cost price × 100

= 1392/4414 × 100

= 31.5%

Answer 2

Answer: a. $1392

b. 31.5%

Explanation:

a. What was Joe's capital loss?

Cost price = $22.07 × 200 = $4414

Selling price = $15.11 × 200 = $3022

Capital loss = $3022 - $4414

= -$1392

b. Express Joe's capital loss as a percent, rounded to the nearest percent.

= Capital loss/Cost price × 100

= 1392/4414 × 100

= 31.5%