21
QuizMultiple Choice

Building a Portfolio — Quiz

Question 21 • Financial Math

Shayaan owns 50 shares of Stock A, bought at $⁢70 per share, and 90 shares of Stock B, bought at $⁢60 per share. Stock A has appreciated to $⁢75 per share, while Stock B has depreciated to $⁢55 per share. What are the initial and current values of Shayaan's portfolio?

Answer
A
initial: 8 dollars comma 900; current: 8 dollars comma 750
B
initial: 8 dollars comma 900; current: 8 dollars comma 700
C
initial: 9 dollars comma 000; current: 9 dollars comma 100
D
initial: 8 dollars comma 800; current: 8 dollars comma 700

Explanation

Initially, Stock A was worth 50 × $70 = $3,500, and Stock B was worth 90 × $60 = $5,400. Together, the initial portfolio value was $8,900. At current prices, Stock A is worth 50 × $75 = $3,750, and Stock B is worth 90 × $55 = $4,950, for a current value of $8,700. This matches choice C.

AI-written and checked against the verified answer.

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