Joel purchased 100 shares of stock for $20 per share. (FINANCIAL PLANNING QUESTION)?
Joel made $1,350 which represents a 67.5% return. Cost of Stock = 100 x $20 = $2,000 Sale of Stock = 100 x $32 = $3,200 Profit from Sale = $3,200 - $2,000 = $1,200 Dividends received = $150 Total Gain = $1,200 + $150 = 1,350 % Gain = $1,350 / $2,000 = 67.5%
How much is 100 shares of a 100 million dollar company worth?
It depends on how many shares of stock the company has issued.If the company has only issued 100 shares of stock, then those 100 shares are worth $100 million.But that’s not likely. If the company has issued 1 million shares of stock, then each share is worth $100, so 100 shares would be worth $10,000.And if the company has issued 10 million shares of stock, then each share is worth $10, so 100 shares would be worth $1,000.Here’s another way of looking at it. Here are 3 companies, each with a market capitalization of just about $100 million:Critical Elements Corp (CRECF) is worth $100.96 million. Its stock is trading at $0.64.FTD Companies (FTD) is worth $100.00 million. Its stock is trading at $3.58.Altisource Asset Management Corp. (AAMC) is worth $100.02 million. Its stock is trading at $62.05.So just knowing that a company is worth $100 million and that you have 100 shares of the stock tells you nothing.
John buys 100 shares of stock at $100 per share. The price goes up by 10% and he sells 50 shares. Then, prices drop by 10% and he sells his remaining 50 shares. How much did he get for the last 50?
$99 per share, that would $4950.For future reference, use this formula while you are calculating the effect of percentage change on the price of a commodity.A + B + (AB/100) = Percentage ChangeThis formula will tell you the exact reduction/increment in the price of a product.For instance, let's take your case only.Price went up by 10% first, so A becomes +10.Then price fell by 10%, so B becomes -10.Now, using that formula.+10 + (-10) + (-10)(10)/100 = -1This tells you that you just need to reduce the current price of the commodity by 1% to get the final price obtained after these operations. This formula will help you to solve all questions of this sort.Hope this helps.Cheers!
Does $7 per trade mean I can sell 100 shares of GM for $7 or would it be $700?
Even if you live in a rural town, as long as you have internet, you can buy stocks. Just sign up for any of those online brokers, such as etrade.com, scottrade.com, tdameritrade.com, etc. and you can do your own stock buying and selling. Based on your question, $7 per trade means the commission price. That's how much the broker will charge for every stock transaction. But if you mean $7 per share, that means you can sell your stock for $7. So if you have 100 shares, then you would get $700. Please do educate yourself more before diving into the stock market. I'm only saying this cause of current market situation. You should be careful and really know what you're doing before putting a penny into the market. Happy Trading, Jun http://www.tplinvestment.com
If I buy 100 shares at $10, and 100 at $8, and the stock goes up to $12, and I only want to sell half, do I sell the $10 shares or the $12 shares?
You now created a bulk of 200 shares with an average price of $10. So it's good accounting to note 200 shares bought at an average price of $10 and if you sell 1/2 now at $12 you are left with 100 shares bought at $10.If you sell 1/2 or 100 shares you create a $200 profit.Your shares will be together as long as you have them all in the same account. Think of them as one.If your considering tax prep. They have a rule of first in-first out which is to say you must sell the $8 shares and not the 10$ shares which causes you make more profit ($400) and pay more in taxes so you might not want to use this rule since it doesn't work in your favor.The IRS only needs to know how much profit you earned on the whole and my accountant does not itemize each trade I make since I am a monthly trader trading large accounts over the year but he provides just a summary instead.Check with your personal accountant or tax accountant always in case if taxes . Good luck
If I bought 100 shares of Disney Stock at $71 a share in 1997, what would my profit be in Feb. 2017 if I wanted to cash out?
Take a look at the screenshot below. As others have stated, you need to know information about dividends to calculate total return. I ran your return from the first day of ’97 because I didn't read your question probably, but this is a good ballpark answer:
How should I determine how many shares to buy of a stock?
Never go based off the share price. Focus soley on a dollar value. Lets say you tell yourself I’m not gonna buy more than 100 shares in any stock, that’ll work to some extent until you hit two difference scenerios.Scenerio 1:You’re looking at APPLE stock and want to purchase and you said to yourself you’re going to buy 100 shares because thats your game plan. Apple is trading around $145 per shareSo thats $145 x 100 shares = $14,500 investmentScenerio 2:You’re looking at stock SUNW and would like to purchase shares and are following the same game plan of buying 100 shares. SUNW is trading at 1.53.So thats $1.53 x 100 shares = $153 investmentDo you see the huge gap in the investment amount?$14,500 vs $153Therefore, you should always trade based off dollar value opposed to size. For example, if you’re accounts at 10,000 you should use 25% of your account on each trade so you should set aside $2500 for each trade. Now if you would like to buy APPLE at $145 you would simply divide 145/2500 = 17 shares and if you buy SUNW at $1.53 you divide that by 2500 and get 1,633 shares.Now you’re at two different share numbers but same investment size.To learn more about stock tradining checkout:[1]Footnotes[1] StockMarketLab - Stock Market Education
What is my total dollar return on this investment?
The simplest way is to take the price appreciation plus the income earned from it. Dividends of $0.20 per share per quarter gives $20 per quarter, $80 in the one year you held them. You sold them for 100 x $40.50 or $4,050. You paid $3,800 for them, so your capital gain was $250. So in your one year you got $250 + $80 or $330 out of your $3,800 investment, or 8.68%. But this does not take into account your opportunity cost - what you would have made if you had put your $3,800 elsewhere, but I will not complicate the issue for you.
Say I bought 100 shares at $10 each. Now the price drops to $9. How many shares shall I buy at $9 each in order to make my average price as close as possible to the market price, and what is the general math rule to calculate it?
Technically the answer is infinity.The more shares you buy at $9, the closer your average price will get to $9.Having said that, it’s generally not a good idea to ‘average down’ your position.You are increasing your exposure despite being closer to being wrong on the idea.If you know the risks and are happy to increase your investment in that particular share, then the more the merrier. The more you buy at $9, the closer your average buy price will get to $9.E.g. If you bought 900 at $9 in addition to your 100 at $10, your average price is now $9.10.Hope that helps!