Jo Bower purchased 150 shares of stock for $24 a share and sold it for $30 a share. The commissions required to buy and sell her stock totaled $120. Assuming she received no dividends during the time she owned the stock, what is her total return on this investment?

Question

Quizplus · Accepted Answer

Jo Bower's total return is calculated by subtracting the total cost (including commissions) from the total sale proceeds. She bought 150 shares at $24 each, costing $3,600, and sold them at $30 each, receiving $4,500. The commissions were $120. So, her total return is $4,500 - $3,600 - $120 = $780.

Jo Bower Purchased 150 Shares of Stock for $24 a Share