A student remarks: "135,000,000 shares of General Electric were sold yes- y on the New York Stock Exchange, at an average price of $25 per share. That s General Electric just received over $3.4 billion from investors." Briefly explain 1
A student remarks: "135,000,000 shares of General Electric were sold yes- y on the New York Stock Exchange, at an average price of $25 per share. That s General Electric just received over $3.4 billion from investors." Briefly explain 1
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:1.
A student remarks: "135,000,000 shares of General Electric were sold yes-
terday on the New York Stock Exchange, at an average price of $25 per share. That
means General Electric just received over $3.4 billion from investors.” Briefly explain
whether you agree with the student's analysis.
Expert Solution

Step 1
Money received from selling shares is equal to = Number of shares x Price per share
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