Discover a world of knowledge at Westonci.ca, where experts and enthusiasts come together to answer your questions. Get immediate and reliable answers to your questions from a community of experienced professionals on our platform. Connect with a community of professionals ready to provide precise solutions to your questions quickly and accurately.
Sagot :
The answer is no it will be less here's why let say the original amount is A then a p% increase will be A(1+p/100))
Now from this amount we decrease it by p% this gives A(1+p/100)(1-p/100). We can simplify this expression some by letting x=p/100 then we have A(1+x)(1-x) but this is equal to A(1-x2). You can see that the value of what's inside the () is always <1 as long as x>0. If we calculate how much the amount changes we have A(1-x2)-A=-Ax2 is always a loss.
This is one of the reasons some people lose money in the stock market. If a stock rises 10% and then drops 10% you have actually lost money but it sounds, on the face of it, like you should be even. +10 and -10 percent.
If we now do the calculation for the 25% up and down we have the final amount is is .9375 which is 1.25*.75. and the change is .9375-1=-.0625. So the net result is down 6.25%
Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. We're here to help at Westonci.ca. Keep visiting for the best answers to your questions.