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The original selling price of a share of stock was dollars. The selling price for a share of the same stock at a later date was represented by the expression . Which description could explain what happened to the price of the share of stock?The price increased by and then decreased by The price increased by and then decreased by The price decreased by and then increased by The price increased by and then decreased by
Full solution
Q. The original selling price of a share of stock was dollars. The selling price for a share of the same stock at a later date was represented by the expression . Which description could explain what happened to the price of the share of stock?The price increased by and then decreased by The price increased by and then decreased by The price decreased by and then increased by The price increased by and then decreased by
- Analyze Inner Expression: Let's analyze the expression step by step to understand what it represents.First, we look at the inner part of the expression, which is . This indicates an increase of on the original price , because is the same as (the original price) plus (the increase).
- Apply Outer Expression: Now, we apply the outer part of the expression, which is multiplying by . Multiplying by is equivalent to taking of the amount. So, we are taking of the increased price (which was increased by ).
- Two Separate Steps: To understand the overall effect, we can think of it as two separate steps. First, the price increases by , and then we take of this new price. This means that the final price is of the price after a increase, not the original price.
- Final Price Calculation: Therefore, the correct description of what happened to the price of the share of stock is that the price increased by and then decreased by . This is because taking of something is the same as reducing it by (since ).
