/*! This file is auto-generated */ .wp-block-button__link{color:#fff;background-color:#32373c;border-radius:9999px;box-shadow:none;text-decoration:none;padding:calc(.667em + 2px) calc(1.333em + 2px);font-size:1.125em}.wp-block-file__button{background:#32373c;color:#fff;text-decoration:none} Problem 3 Use the following ticker informa... [FREE SOLUTION] | 91影视

91影视

Log out

Learning Materials

Features

Discover

Chapter 1: Problem 3

Use the following ticker information to answer Exercises 2鈥�9. The stock symbols represent the following corporations: HD, Home Depot Inc; S, Sprint Nextel Corporation; VZ, Verizon Communications Inc; and XOM, Exxon Mobil Corp. HD 32.3M@29.13?1.13 S 1.1K@9.14?0.78 VZ 3.32K@38.77?2.27 XOM 0.66K@92.67?1.58 Phil sold his shares of Verizon Communications Inc, as indicated on the above ticker. a. How many shares did he sell? b. How much did each share sell for? c. What was the total value of all the shares Phil sold?

Short Answer

Expert verified
a) Phil sold 3,320 shares of Verizon Communications Inc. b) Each share was sold for $38.77. c) The total value of all the shares Phil sold was $128,696.4

Step by step solution

01

Identify Ticker Information

In the given ticker, look for the information relevant to Verizon Communications Inc, which is represented by the symbol 'VZ'. The ticker information for 'VZ' is '3.32K@38.77'. This indicates that 3.32 thousand (or 3,320) shares were sold at a price of $38.77 per share.
02

Calculate the Number of Shares Sold

Since the ticker information was '3.32K@38.77', the '3.32K' indicates the number of shares sold, particularly in thousands. Therefore, Phil sold 3.32 thousand or 3,320 shares of Verizon Communications Inc.
03

Identify the Selling Price Per Share

In the ticker information '3.32K@38.77', the number after the '@' symbol, which is '38.77', is the selling price per share. Therefore, each share was sold for $38.77.
04

Calculate the Total Value of the Shares Sold

The total value of the shares sold can be calculated by multiplying the number of shares sold by the selling price per share. Thus, the total value would be 3,320 shares * $38.77 per share, which equals $128,696.4

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Over 30 million students worldwide already upgrade their learning with 91影视!

Key Concepts

These are the key concepts you need to understand to accurately answer the question.

Ticker Symbols
Ticker symbols are short, unique codes used to identify publicly traded companies on a stock exchange. Typically, these consist of a few letters, often resembling an abbreviation of the company's name. For example, "HD" stands for Home Depot, while "VZ" refers to Verizon Communications Inc. These symbols make it easy for investors to quickly identify and track company stocks in trading platforms and financial news sources.
  • Simplicity: With a few letters, ticker symbols communicate essential details about a stock, preventing confusion during transactions.
  • Tracking: Investors use ticker symbols for tracking stock market performance over time, observing trends, and making investment decisions.
  • Uniqueness: Each ticker symbol is unique to avoid ambiguity and ensure precise trade orders.
Understanding ticker symbols is vital for anyone involved in stock trading as they serve as identifiers and a gateway to detailed information about company stocks.
Share Price Calculation
The price of a share is determined by various factors, including a company's performance, market conditions, and investor expectations. In a ticker, this is represented by the number following the '@' symbol, as seen in 'VZ 3.32K@38.77'. Here, $38.77 represents the price per share of Verizon Communications Inc.
  • Market Demand: Share prices can fluctuate based on investor demand and market sentiment.
  • Company Performance: Good financial results typically boost share prices, whereas poor results can lower them.
  • Events: Corporate news, economic reports, and global events can all have significant impacts on share prices.
Calculating the share price provides insights into what investors are willing to pay and aids in assessing the potential profitability of an investment.
Stock Selling Process
Selling stocks involves a few straightforward steps and understanding the associated details is crucial for maximizing returns. In the exercise, Phil sold his shares of Verizon, and we can break down the process to understand it better.
  • Number of Shares: Determined from the ticker as '3.32K', meaning Phil sold 3,320 shares.
  • Selling Price: For each share sold, the price was \(38.77, as indicated by the ticker.
  • Total Value: To find this, multiply the number of shares sold by the individual share price: \[ ext{Total Value} = 3,320 ext{ shares} \times 38.77 \text{ per share} \] The total comes to \)128,696.4.
Understanding how to effectively sell stocks can help investors manage their portfolios more efficiently and time their trades to maximize profit and minimize loss.

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

During \(2003,\) a share of stock in the Coca-Cola Company sold for \(\$ 39 .\) During 2008 , the price hit \(\$ 56\) per share. Express the increase in price as a percent of the price in 2003 . Round to the nearest tenth of a percent.

Debbie buys 400 shares of stock for \(\$ 23\) per share, and pays a 1\(\%\) commission. She sells them six years later for \(\$ 23.25\) per share, and pays a \(\$ 30\) flat fee. Are her net proceeds positive or negative? Explain.

Use the following information posted at the end of the trading day on April 22 to answer Exercises 2鈥�7. $$\begin{array}{|c|c|c|c|c|c|c|c|c|}\hline 52 \text {-week } & 52 {\text {-week }} & {} & {} & {} & {} & {\text { Sales of }} & {} & {} \\ \text { High } & {\text { Low }} & \text { Symbol } & \text { Stock } & \text { Last } & \text { Change } & 100 \text {s} & {\text { High }} & {\text { Low }} \\\ \hline \text { 151,650 } & {107,200} & \text {BRK/A} & \text {Berkshire} & {127,200} & \text { ?1000 } & {4.11} & {128,600} & {127,000} \\ {} & {} & {} & \text { Hathaway Inc } & {} & {} & {} & {} & {} \\ \hline {120.2} & {66.39} & \text{FCX} & \text{Freeport-McMoRan} & {118.65} & {3.51} & {147,540} & {120.06} & {116.64} \\ {} & {} & {} & \text{Copper & Gold Inc} & {} & {} & {} & {} & {} \\ \hline {63.69} & {46.64} & \text{MCD} & \text{McDonald鈥檚} & {58.35} & {?0.55} & {106,077} & {58.77} & {57.42} \\ {} & {} & {} & \text{Corporation} & {} & {} & {} & {} & {} \\ \hline {266.81} & {112.11} & \text{PTR} & \text{PetroChina} & {137.19} & {+2.16} & {16,266} & {140.92} & {136.09} \\ {} & {} & {} & \text{Company Ltd} & {} & {} & {} & {} & {} \\\ \hline {39.63} & {27.51} & \text{TXN} & \text{Texas Instruments Inc} & {28.85} & {?1.74} & {288,012} & {29.64} & {28.38} \\ \hline {144.04} & {92.18} & \text{WBK} & \text{Westpac Banking} & {113.62} & {2.45} & {332.7} & {115.35} & {113.50} \\ {} & {} & {} & \text{Corporation} & {} & {} & {} & {} & {} \\\ \hline \end{array}$$ On April 22, which stock(s) had a daily high that was approximately 50% lower than the 52-week high?

Tomika owns \(\frac{3}{5}\) of a law partnership. What percent of the partnership does she own?

Danielle is examining the change in the money fl ow for Yahoo! Inc shares on two consecutive dates. The information is given in the table. Do the May 16 numbers refl ect a positive or negative money flow? Explain. $$\begin{array}{|c|c|c|c|c|}\hline \text { Date } & {\text { High }} & {\text { Low}} & {\text { Close }} & {\text { Volume }} \\ \hline 16 \text { -May } & {27.95} & {27.40} & {27.66} & {53,299,800} \\ \hline{15\text { -May }} & {27.90} & {26.85} & {27.75} & {79,670,500} \\ \hline \end{array}$$
See all solutions

Recommended explanations on Math Textbooks

Probability and Statistics

Read Explanation

Calculus

Read Explanation

Applied Mathematics

Read Explanation

Mechanics Maths

Read Explanation

Theoretical and Mathematical Physics

Read Explanation

Statistics

Read Explanation
View all explanations

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.