9514 1404 393
Answer:
$4000
Step-by-step explanation:
The problem tells you the relation between commission (c) and stock value (v) is ...
c = 10 + 0.025v . . . . $10 + .025 of the value traded
We want to find the value (v) for the given commission (c=110). We can put these numbers into the formula and solve for v:
110 = 10 + 0.025v
100 = 0.025v . . . . . . . subtract 10
100/0.025 = v = 4000 . . . . divide by the coefficient of v
The value of stock traded was $4000.
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Additional comment
As always, you start by reading and comprehending the problem. You look for what is being asked for, what is being given, and any information that relates one to the other.
Here, the value of stock traded is asked for, the amount of commission is given, and a description of the relation of one to the other is provided. Translate that description to an equation, fill in the given value, and solve for the unknown. (That's what we did above.)
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You can also work this in your head. The commission is $10 more than some fraction of the amount traded. Since the commission is $110, only $100 of that is the fraction of the amount traded. With a little experience, you can recognize the fraction 0.025 as being 1/40. That means $100 is 1/40 of the value traded, or the value traded is 40 × $100 = $4000.
