Question

The stock of Company A lost $2.55 throughout the day and ended at a value of $57.45. By what percentage did the stock decline?

Answer 1

Given:

Loss = $2.55

Value of stock after loss = $57.45

To find:

The percentage by which the stock decline.

Solution:

We have,

Loss = $2.55

Value of stock after loss = $57.45

Value of stocks before loss = Value of stock after loss + loss

                                              = $57.45 + $2.55

                                              = $60

Now,

$\text{Percentage by which the stock decline}=\dfrac{\text{loss}}{\text{initial value}}\times 100$

$\text{Percentage by which the stock decline}=\dfrac{2.55}{60}\times 100$

$\text{Percentage by which the stock decline}=4.25%$

Therefore, the stocks of the company declined by 4.25%.