Question

Three weeks ago John bought stock at 49 1/4; today the stock is valued at 49 7/8. We could say the stock is performing at which of the following?
A. Below par
B. Par equality
C. On par
D. Above par

Answer 1

Answer:

The correct option is D.

Step-by-step explanation:

John bought stock at $49\frac{1}{4}$; today the stock is valued at $49\frac{7}{8}$.

$49\frac{1}{4}=49+\frac{1}{4}$

$49\frac{1}{4}=49+0.25$

$49\frac{1}{4}=49.25$

The value of stock at the time of purchasing is 49.25.

$49\frac{7}{8}=49+\frac{7}{8}$

$49\frac{7}{8}=49+0.875$

$49\frac{7}{8}=49.875$

The value of stock at current time is 49.875.

$49.875-49.25=0.625$

The value of stock increased by 0.625.

Since the value of stock increases, therefore the correct option is D, i.e., Above par.

Answer 2

The best answer to the question that is being presented above would be letter D above par. The stock is performing at above par because there is an increase in the value of the stock by twenty nine percent (29%).