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Bobby bought two shares of stock, which he sold for $96 each. If he ha
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20 Jan 2022, 06:12
20 Jan 2022, 06:12
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Bobby bought two shares of stock, which he sold for $96 each. If he had a profit of 20 percent on the sale of one of the shares but a loss of 20 percent on the sale of the other share, then on the sale of both shares combined Bobby had
(A) a profit of $10
(B) a profit of $8
(C) a loss of $8
(D) a loss of $10
(E) neither a profit nor a loss
(A) a profit of $10
(B) a profit of $8
(C) a loss of $8
(D) a loss of $10
(E) neither a profit nor a loss
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Re: Bobby bought two shares of stock, which he sold for $96 each. If he ha
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20 Jan 2022, 06:59
20 Jan 2022, 06:59
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Carcass wrote:
Bobby bought two shares of stock, which he sold for $96 each. If he had a profit of 20 percent on the sale of one of the shares but a loss of 20 percent on the sale of the other share, then on the sale of both shares combined Bobby had
(A) a profit of $10
(B) a profit of $8
(C) a loss of $8
(D) a loss of $10
(E) neither a profit nor a loss
(A) a profit of $10
(B) a profit of $8
(C) a loss of $8
(D) a loss of $10
(E) neither a profit nor a loss
Let x = the ORIGINAL purchase price of the stock that had a PROFIT of 20%
So, 1.2x = the SALE price when Bobby sold the stock for a profit of 20%
Since Bobby sold that stock for $96, we can write: 1.2x = 96
Solve to get: x = $80
Let y = the ORIGINAL purchase price of the stock that had a LOSS of 20%
So, 0.8x = the SALE price when Bobby sold the stock for a loss of 20%
Since Bobby sold that stock for $96, we can write: 0.8x = 96
Solve to get: y = $120
This means the total cost of Bobby's ORIGINAL purchase = $80 + $120 = $200
The total SALE price of the two stocks = $96 + $96 = $192
So, Bobby lost a total of $8 in this transaction.
Answer: C
gmatclubot
Re: Bobby bought two shares of stock, which he sold for $96 each. If he ha [#permalink]
20 Jan 2022, 06:59
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