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Mashutka [201]
3 years ago
12

Janice bought 40 shares of stock at $31.82 per share. She received dividends of $1.11 per share for 1 year. (Do not use commas,

percentage signs or dollar signs in your answers. Round percentage answers to the nearest tenth)
What was her purchase price?
Chemistry
1 answer:
Alborosie3 years ago
5 0

Answer:

  • $30.71 per share

Explanation:

The <em>purchase price</em> is what Janice invested for every share.

Since the stock was priced at $31.82 per share and she received a $1.11 dividend per share, her investment was:

  • $31.82 - $1.11 = $30.71 per share ← answer

This price is the cost for Janice, over which she shall calculate their returns (gains or losses) on the future, when she sells the shares, for instance.

The total investment of Janice was the number of shares multipled by the purchase price:

  • 40 shares × ($31.82 -  $1.11)/ share
  • 40 shares × ($30.71) / share = $1,228.40 (total investment)
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