Turn on thread page Beta
    • Thread Starter

    how is the answer £300 loss. i have tried to understand it but i still have no idea! does anyone have a method to find the answer to these types of questions?

    here's the question:

    The price of a particular share varies from day to day. On Monday the price of the share was £1. Tuesday’s price was 20% higher than Monday’s, and Thursday’s price was 25% up on Wednesday’s price. By the Friday of that week the price had returned to £1.
    Helen bought £1 000 worth of this share on Monday and then sold them on Thursday to make a profit of £350.
    Paul bought £3000 worth of this share on Tuesday, but had to sell them the following day.
    Assuming that there are negligible costs associated with buying and selling these shares, what was the return on Paul’s investment?

    You need to use the 1000 value to figure out the percentage change from Tuesday to Wednesday. So firstly multiply 1000 by 1.20 and you will get 1200. Multiply this again by 1.25 and you will get 1500. But you know that the profit is 350 and not 500. So do 1500x = 1350 and solve to get a value for x. Multiply this value of x by 3000 and you will get 2700. Therfore he lost 300.

University open days

  1. University of Bradford
    University-wide Postgraduate
    Wed, 25 Jul '18
  2. University of Buckingham
    Psychology Taster Tutorial Undergraduate
    Wed, 25 Jul '18
  3. Bournemouth University
    Clearing Campus Visit Undergraduate
    Wed, 1 Aug '18
How are you feeling in the run-up to Results Day 2018?
Help with your A-levels

All the essentials

The adventure begins mug

Student life: what to expect

What it's really like going to uni


Essay expert

Learn to write like a pro with our ultimate essay guide.

Uni match

Uni match

Our tool will help you find the perfect course for you

Study planner

Create a study plan

Get your head around what you need to do and when with the study planner tool.

Study planner

Resources by subject

Everything from mind maps to class notes.

Hands typing

Degrees without fees

Discover more about degree-level apprenticeships.

A student doing homework

Study tips from A* students

Students who got top grades in their A-levels share their secrets

Study help links and info

Can you help? Study help unanswered threadsRules and posting guidelines

Groups associated with this forum:

View associated groups

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Write a reply...
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.