Question

Maureen bought 200 shares of BETA Corp. for 12 1/2 per share. What was

Answer 1

The purchase price of the stock includes the commission paid to the stockbroker. You have to multiply the cost per stock of the stock to the number of shares purchased by Maureen to get the purchase price. You have to multiply the purchase price with the percentage of commission to get the commission. You add the purchase price and the commission to get the total purchase price of the stock.

200 shares x $12.5 per share = $2,500

$2,500 x 1% commission        = $25

Total purchase price                = $2,525