At the close of the market on Monday, the price of a certain

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BTGmoderatorDC: Moderator; Posts: 7187; Joined: Thu Sep 07, 2017 4:43 pmFollowed by: 23 members

by BTGmoderatorDC » Wed Jul 10, 2019 1:26 am

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At the close of the market on Monday, the price of a certain volatile stock was exactly $100.00 per share. By close of the day on Tuesday, the stock was 20% up from its start that day. By the close of the day on Wednesday, the stock was 10% up from its start that day. By the close of the day on Thursday, the stock was 30% down from its start that day. What was the price per share by the end of the day on Thursday?

A. 91
B. 92.4
C. 100
D. 101.07
E. 109.89

OA B

Source: Magoosh

Source: Beat The GMAT — Problem Solving | Wed Jul 10, 2019 1:26 am

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Ian Stewart: GMAT Instructor; Posts: 2623; Joined: Mon Jun 02, 2008 3:17 amFollowed by: 355 members; Location: Montreal; Thanked: 1090 times; GMAT Score:780

by Ian Stewart » Wed Jul 10, 2019 5:38 am

The stock first increases from $100 to $120. This increases a further 10%, so by $12, to $132. This then decreases by 30%, so we're multiplying it by 0.7, and we get (7/10)(132) = $92.4.

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Scott@TargetTestPrep: GMAT Instructor; Posts: 8246; Joined: Sat Apr 25, 2015 10:56 amFollowed by: 29 members; Location: Los Angeles, CA; Thanked: 43 times

by Scott@TargetTestPrep » Sun Jul 28, 2019 9:21 am

BTGmoderatorDC wrote:At the close of the market on Monday, the price of a certain volatile stock was exactly $100.00 per share. By close of the day on Tuesday, the stock was 20% up from its start that day. By the close of the day on Wednesday, the stock was 10% up from its start that day. By the close of the day on Thursday, the stock was 30% down from its start that day. What was the price per share by the end of the day on Thursday?

A. 91
B. 92.4
C. 100
D. 101.07
E. 109.89

OA B

Source: Magoosh

The price per share by the end of the day on Thursday is:

100 x 1.2 x 1.1 x 0.7 = $92.40

Answer: B

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