A pharmaceutical company’s stock price was $33.65 on Monday. On Tuesday, the price went up $1.23. On Wednesday, the price decreased from Tuesday’s price by $0.97. On Thursday, the price went up $2.75 from Wednesday’s price. Which of the following was the final price on Thursday?
$33.65
$33.91
$34.88
$36.66
Correct Answer : D
The final price of the stock on Thursday can be found by finding the price on the previous day taking into account the price changes as follows.
The price of the stock on Monday was $33.65
On Tuesday the price of the stock went up by $1.23 from Monday’s price. Then, Tuesday’s price was $(33.65+1.23)=$34.88
The price of the stock on Wednesday decreased by $0.97 from Tuesday’s price. The price on Wednesday became $(34.88-0.97)=$33.91
Thursday’s price increased by $2.75 from Wednesday’s price, which was $(33.91+2.75)=$36.66
Therefore, the final price of the stock on Thursday was $36.66.
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Explanation
The final price of the stock on Thursday can be found by finding the price on the previous day taking into account the price changes as follows.
The price of the stock on Monday was $33.65
On Tuesday the price of the stock went up by $1.23 from Monday’s price. Then, Tuesday’s price was $(33.65+1.23)=$34.88
The price of the stock on Wednesday decreased by $0.97 from Tuesday’s price. The price on Wednesday became $(34.88-0.97)=$33.91
Thursday’s price increased by $2.75 from Wednesday’s price, which was $(33.91+2.75)=$36.66
Therefore, the final price of the stock on Thursday was $36.66.
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