Samantha's investment portfolio consists of three stocks: an airline, a bank, and a computer
company. In the month of February, the price of the airline's stock rose by 10%, that of the bank
decreased by 15% and that of the computer company also decreased by 15%, but the overall value of
her portfolio increased. If Samantha owns equal amounts of all three stocks, which of the following
could be the initial prices of the three stocks in the order airline, bank, and computer company
A.$55, $85, $40
B.$65, $60, $60
C.$65, $55, $90
D.$85, $25, $20
E.$25, $60, $70
Since Samantha owns equal amounts of stocks, the 10% increase alone should set off the 15% decrease in each of the other two stocks. i.e The stock which increased should have a substantially higher value than the two stocks which decreased. Between B & D, D is obviously the safer bet and is the right answer.
Answer is D.
Kudos Please... If my post helped.
Did you find this post helpful?... Please let me know through the Kudos button.
Thanks To The Almighty - My GMAT Debrief
Submit Your Own Verbal Questions - Get Kudos Reward