Question

help me pwease =( On August 16, 2005, one share of Telephone & Data Systems Inc. stock cost $42.90. On September 2, 2005, the stock closed 5% lower than the price on August 16th. What was the cost of one share of Telephone & Data Systems Inc. stock on September 2nd?

Answer 1

what is 5% of 42.90 ?

Answer 2

you can multiply to get it.... that's how much the stock dropped. So you would need to subtract that drop amount from $42.90 to get the new cost

Answer 3

i got 16.19 according to my calculations

Answer 4

I don't think that's it...

Answer 5

did u calculate the 19 days?

Answer 6

no... I don't think the 19 days matters

Answer 7

r u sure =( my teacher said otherwise during class =((((

Answer 8

42.90 - (42.90 x 0.05)

Answer 9

42.9(1-.05)^19

Answer 10

what did your teacher say to do with the 19 days?

Answer 11

raise it

Answer 12

yikes... that would be a 5% drop every day for 19 days!

Answer 13

that's not what the problem states, although there are plenty of problems exactly like that... that's compounding interest

Answer 14

hmmmm

Answer 15

I think it just drops once, sort of like saying a shirt costs $42.90 but it's on sale for 5% off... what is the new price?

Answer 16

something similar moser so im assuming it would be in the same equation but if its not then iono

Answer 17

40.76

Answer 18

I don't have this as a class, but I think this problem is quite the same as as the one she showed you

Answer 19

so 40.76?

Answer 20

looks right to me :)

Answer 21

yes, that's right...

Answer 22

orig price minus (orig price x 5%)

Answer 23

42.90 - (42.90 x 5%)

Answer 24

42.90 x .05 then subract from 42.90

Answer 25

16.19

Answer 26

what? why?

Answer 27

26.41...?

Answer 28

26.41 seems a little more than just 5% though...

Answer 29

Um... the way the problem is written above, that is not the correct approach. It says the stock closed 5% lower than the price on the first day. It doesn't say the stock closed 5% lower each day for 19 days. It dropped in price over a period of time, but the amount of the whole drop is 5%, not the daily drop. It is just like having a sale on something... the new price is the original price minus (the percentage times the original price)

Answer 30

yes, right! it is way more than 5%

Answer 31

5 percent is like a nickel out of a dollar... not much!

Answer 32

So for each of the first 40 dollars, the price dropped a nickel... 40 nickels is 2 dollars.

Answer 33

I think it's the answer to a different type of problem, or she wrote the problem incorrectly.

Answer 34

no thats the exact problem and i dont know how you would have a book for it =/ this was made specifically for my universiy

Answer 35

:)

Answer 36

i mean u can google the problem and my school pops up well the name of my school is included in the url

Answer 37

is it possible u can show me what exactly the book says?

Answer 38

I believe you if you say it's written correctly... it's your hw, so you have no reason to lie about it :)

Answer 39

because he does have a point when he says we have to use exponents... thats wut kind of scares me

Answer 40

So, as written, the price drops 5 cents for each of the 42 dollars (that's 2.10 so far)

Answer 41

and 5% of the last 90 cents, which is 4.5 cents. Overall, it drops 2.10 + 0.045 = 2.145. Subtract that from 42.90 to get the answer.

You had it right earlier, but this is just another way to think of it to see that it really is a small drop in this case

Answer 42

Just beware... that exponent method IS correct for some problems... when something drops or rises repeatedly by a percentage, and you want to know what you end up, that's where you use it.

Answer 43

Compound interest on credit cars, car loans, etc.

Answer 44

=( im feeling extremely ambivalent

Answer 45

Stock price rises year after year over a decade, etc

Answer 46

those all need compounding interest. Your problem was a simple interest question with dates thrown in to confuse you

Answer 47

I am liking "extremely ambivalent" ... nice oxymoron ;)

Answer 48

ok i guess ur right then but if i get it wrong im gonna hunt u

Answer 49

(sort of, not exactly I guess... still good tho)

Answer 50

then put a arrow thru u like katniss everdeen

Answer 51

I will owe you TWO free and correct answers next time :)

Answer 52

i imagine you're a good shot... hope i'm right!

Answer 53

hope it helped...

Answer 54

thank you

Answer 55

glad to help (or at least try to help)... good luck!!

Answer 56

i feel like ur trolling me moser...

Answer 57

Moser90 may be right, but I can see no reason given in the problem to treat this as a compounding problem. It is stated as a a single drop in price

Answer 58

can u at least show the work and explain how u got that answer moser

Answer 59

knowing when to use the techniques your teacher shows you is important too... just cuz they did some compound interest problems doesn't make all problems compound interest. The lesson (hopefully) wants students to be able to distinguish between the simple and the compound cases

Answer 60

the answer to that is 113.69

Answer 61

this assignment is entitled Exponential Modeling and Percentages by the way

Answer 62

if that helps any

Answer 63

why didnt u include the 42.9

Answer 64

moser if u have the answers to the book whats the next question?

Answer 65

no whats that i go to DePaul University in Chicago

Answer 66

ease up... you haven't explained why compounding (i.e. exponents) should be used here in a problem that appears to be a simple price drop. "Cuz it's in that chapter" isn't really a reason

Answer 67

I stand totally willing to be corrected and educated, but I'm just not understanding why you are using that approach

Answer 68

yeah, I agree, it's a little weird... i have to think they're just testing students to see if they really know what they're doing or if they are just plugging into formulas and hoping for the best.

Answer 69

I need to get going... good luck... happy studying :)

Answer 70

ty