The value of your stock investment decreased by 41 % after a stock market crash. What percentage increase in value would the stocks have to rise in order to return to

the value they were before the stock market crash? Round your answer to the nearest tenth of a percent.

Respuesta :

Answer:

  69.5%

Step-by-step explanation:

If the original value is 1, the value after the crash is 1-0.41 = 0.59. We want to find the multiplier x so that ...

  0.59x = 1

  x = 1/0.59 ≈ 1.6949

The percentage increase required is (x -1)×100% ≈ 69.49%.

The stock would have to rise about 69.5%.

The stock would increase by 69.50%

Assume the value of your stock before the crash is $100

After a 41% decrease, the value of your stock would (100 - 41) 59% of its original value

Value of the stock after the crash = 0.59 x 100 = 59

Percentage increase in value back to 100 = [tex]\frac{100 - 59}{59}[/tex] x 100 = 69.50%

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