BUSN 380 help Making Decisions/uophelp.com BUSN 380 help Making Decisions/uophelp.com | Page 52

a discussion and explanation of how this dream job will or will not help
you achieve your personal goals based on the outcome of your budget.
50 Points Total
Based on the personal budget I prepared, assuming an annual salary of
$55,000, I could pay off my own apartment, everyday needs (food,
clothing and transportation to and from work), and still have extras for
entertainment. What is amusing is, despite allocating a decent amount
for savings and retirement, and payment of my student loan, I could still
have…
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BUSN 380 Week 4 Problem Set 4
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1. Determining Profit or Loss from an Investment. Three years ago, you
purchased 150 shares of IBM stock for $88 a share. Today, you sold
your IBM stock for $103 a share.
For this problem, ignore commissions that would be charged to buy and
sell your IBM shares.
a. What is the amount of profit you earned on each share of IBM stock?
b. What is the total amount of profit for your IBM investment?
2. Calculating Rate of Return. Assume that at the beginning of the year,
you purchase an investment for $8,000 that pays $100 annual income.