$5.99 is the correct answer.
Answer:
Subtract:
2/3 - 1/2 = 2/3 • 2/2 - 1/2 • 3/3 = 4/6 - 3/6 = 4-3/6 = 1/6
For adding, subtracting, and comparing fractions, it is suitable to adjust both fractions to a common (equal, identical) denominator. The common denominator you can calculate as the least common multiple of the both denominators - LCM(3, 2) = 6. In practice, it is enough to find the common denominator (not necessarily the lowest) by multiplying the denominators: 3 × 2 = 6. In the next intermediate step the fraction result cannot be further simplified by cancelling.
In words - two thirds minus one half = one sixth.
Hope this helps
If you would like to know how much is the stock worth now, you can calculate this using the following steps:
1 year: 6 1/2 % of $875 = 6.5% * $875 = 6.5/100 * 875 = $56.875
$875 + $56.875 = $931.875
2 year: 6 1/2 % of $931.875 = 6.5% * $931.875 = 6.5/100 * 931.875 = $60.572
$931.875 + $60.572 = $992.447
3 year: 6 1/2 % of $992.447 = 6.5% * $992.447 = 6.5/100 * 992.447 = $64.509
$992.447 + $64.509 = $1056.956 = $1056.96 = $1057
The correct result would be: The stock is worth $1057 now.
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