Bob and his stocks, from OG free test

[isisalaska]

Bob bought 2 shares of stock, which he sold for $96 each. If he had a profit of 20% on teh sale of one of the shares but a loss of 20% on the other, teh sale of both combine had
a) profit $10
b) profit $8
c) loss $8
d)Loss $10
e) Neither

Why is c) and not e)?

[jayhawk2001]

The main reason it is not E is because the purchase price is not
the same for both the stocks.

For first stock with purchase price S1:

1.2 * S1 = 96
S1 = 80

So, Profit = 16

For second stock with purchase price S2:

0.8 * S2 = 96
S2 = 120

So, loss = 24

Put together, +16 -20 = -8

Hence C

[isisalaska]

You are good jayhawk2001
thanks!

[STEVEN SPIELBERG]

IMOC