Question

a companys stock began the day at $30.69 per share. that price drops by $1.04 each hour.
a. what is the price per share after 6 hours?
b. what will it be after 32 hours if this rate continues?
c. explain what the signs of the answers mean in this context.
a. what is the price per share after 6 hours?
a. the price per share after 6 hours is $24.20.
b. the price per share after 6 hours is - $2.59.
c. the price per share after 6 hours is $24.45.
d. the price per share after 6 hours is - $2.84.

Explanation:

Step1: Calculate total drop in 6 hours

The stock drops $1.04$ per hour. For 6 hours, the total drop is $1.04\times6 = 6.24$.

Step2: Calculate price after 6 hours

The initial price is $30.69$. So the price after 6 hours is $30.69-6.24=24.45$.

for part b:

Step1: Calculate total drop in 32 hours

The stock drops $1.04$ per hour. For 32 hours, the total drop is $1.04\times32 = 33.28$.

Step2: Calculate price after 32 hours

The initial price is $30.69$. So the price after 32 hours is $30.69 - 33.28=- 2.59$.

for part c:
A positive answer in part a means the stock still has a non - negative value after 6 hours. A negative answer in part b means that after 32 hours, the stock price has dropped below zero, indicating that the stock has lost all its value and potentially the company may have debts or other financial obligations associated with the stock.

Answer:

C. The price per share after 6 hours is $24.45$.