Allen bought 1,350 shares of stock for $12 per share. If he sold all his shares for $27,000, how much profit on each share did he make? a. $6 b. $8 c. $10 d. $12
Mathematics · High School · Tue Nov 03 2020
Answered on
Given:
Allen bought 1350 shares of stock for $12 per share
Determine how much profit did he make when he sold all his shares for $27,000.
Solution:
Multiply first 1350 by 12 in order to determine the buying price of Allen.
= (1350)(12)
= $16,200
Subtract the buying price with the selling price of the stocks.
= $27,000 - $16,200
= $10,800
Allen's total profit is $10,800.
In order to determine how much profit did he make per each stock, we simply divide 10,800 by the number of stocks that he bought.
= $10,800/1350
= $8
Allen made $8 profit on each stock that he bought.