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Problem Solving (PS) | Re: During the first month after Johanna purchased stock in Amalgamedia In

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Bunuel wrote:

During the first month after Johanna purchased stock in Amalgamedia Inc., the value of her shares fell by 20 percent. During the following month, however, Amalgamedia’s stock price rose by 40 percent. By what percent did Johanna’s shares of Amalgamedia change over those two months?

A. 4%
B. 12%
C. 20%
D. 50%
E.68%


Suppose the value of her shares when she purchased them was x. After the 20% decrease, the value of her shares became 0.8x. After the 40% increase, the value of her shares became
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