After selling several shares of the company's stock, a profit of $1,320 was earned, representing a 15% increase over a 30-day period. What was the original purchase price of the shares?
Mathematics · Middle School · Mon Jan 18 2021
Answered on
To find the original purchase price of the shares, we can set up an equation using the information provided about the profit and the percentage increase.
Let's denote the original purchase price of the shares as \( P \).
We know that the profit earned was $1,320, which represents a 15% increase over the original purchase price. This means that 15% of \( P \) is equal to $1,320.
We can express this as:
\( 0.15P = \$1,320 \)
Now, to find the original purchase price \( P \), we need to divide both sides of the equation by 0.15:
\( P = \frac{\$1,320}{0.15} \)
Calculating this gives us:
\( P = \frac{\$1,320}{0.15} = \$8,800 \)
Therefore, the original purchase price of the shares was $8,800.