Calculate Stephen's Total Spending on Shares

Stephen's Stock Purchases

Stephen bought 85 shares of United Rotators at $6.34 each, 110 shares of Dowc Beverage Co. at $13.13 apiece, and 133 shares of Esti Transport at $7.10 each. Additionally, Stephen's broker collects a commission of $12.50 for every ten shares bought or sold.

Calculating Total Spending

To find out how much Stephen spent in total, we first calculate the cost of each stock purchase:

• Shares of United Rotators: 85 x $6.34 = $538.90
• Shares of Dowc Beverage Co.: 110 x $13.13 = $1,444.30
• Shares of Esti Transport: 133 x $7.10 = $944.30

Next, we calculate the total commission collected by Stephen's broker:

Commission = (Total shares bought / 10) x $12.50

Commission = (85 + 110 + 133) / 10 x $12.50 = 32.8 x $12.50 = $410.00

Finally, we add up the cost of stock purchases and the commission to find the total amount spent by Stephen:

Total Spending = $538.90 + $1,444.30 + $944.30 + $410.00 = $3,337.50

Conclusion

Therefore, Stephen spent a total of $3,337.50 on purchasing shares, rounding to the nearest dollar.

Question:

How much did Stephen spend in total on purchasing shares, to the nearest dollar?

A. $2,972

B. $3,338

C. $6,688

D. $2,438

Answer:

The correct answer is option B) $3,338.

Explanation: By calculating Stephen's stock purchases, commissions, and adding them together, we find that his total spending was $3,337.50, which rounds up to $3,338.