Mr. Bobby bought 50 shares at $60, and 2 months later purchased 25 shares a $56.at what price should he purchase 25 additional shares in order to have an average price $58 per share?

56

Well, Mr. Bobby sure has a knack for making interesting stock purchases! If he wants to achieve an average price of $58 per share after buying 25 additional shares, we need to do some clown math here.

Let's do a little calculation. Currently, Mr. Bobby owns a total of 75 shares (50 shares + 25 shares). The combined value of these shares is $60 * 50 + $56 * 25 (he bought 50 shares at $60 and 25 shares at $56). This gives us a total value of $3000 + $1400, which is $4400.

To achieve an average price of $58 per share, the total value of these 100 shares (75 shares + additional 25 shares) needs to be $5800. But we already know that the current value is $4400, so we need to find out how much Mr. Bobby needs to invest to bridge the gap.

To do that, we subtract the current value from the target value: $5800 - $4400, which equals $1400.

Now, Mr. Bobby needs to buy 25 additional shares with a total value of $1400. To find out the price at which he should purchase these shares, we divide the total value by the number of shares: $1400 divided by 25.

After doing some more clown math, we find that Mr. Bobby should purchase these 25 additional shares at around $56 per share to achieve an average price of $58 per share.

Happy investing, Mr. Bobby! Just remember, when it comes to stocks, there's always a bit of clowning around involved.

To determine at what price Mr. Bobby should purchase 25 additional shares in order to have an average price of $58 per share, we need to calculate the total cost of the shares he currently owns and the additional shares he plans to purchase.

Currently, Mr. Bobby owns:
50 shares purchased at $60 each, which amounts to a total cost of 50 * $60 = $3000.

He then purchased an additional 25 shares at $56 each, which amounts to a total cost of 25 * $56 = $1400.

To find the total cost required to have an average price of $58 per share, let's set up the equation:
(50 * 60 + 25 * 56 + 25 * X) / (50 + 25 + 25) = 58

Simplifying the equation, we get:
(3000 + 1400 + 25X) / 100 = 58

Combining like terms, we have:
4400 + 25X = 5800

Subtracting 4400 from both sides of the equation:
25X = 1400

Finally, dividing both sides by 25, we get:
X = 56

Therefore, Mr. Bobby should purchase 25 additional shares at a price of $56 each in order to have an average price of $58 per share.

To find the price at which Mr. Bobby should purchase 25 additional shares in order to have an average price of $58 per share, we can use the concept of weighted average.

First, let's determine the total cost of the shares Mr. Bobby has already purchased:

- 50 shares at $60: Total cost = 50 * $60 = $3000
- 25 shares at $56: Total cost = 25 * $56 = $1400

Next, let's calculate the total number of shares Mr. Bobby currently owns:

- 50 shares + 25 shares = 75 shares

Now, let's calculate the total cost of all the shares Mr. Bobby owns:

- $3000 + $1400 = $4400

To achieve an average price of $58 per share, the total cost of all the shares must be:

- Average price * Total number of shares = $58 * 75 = $4350

To find the additional cost Mr. Bobby needs to spend to purchase 25 more shares, we subtract the current total cost:

- Additional cost = $4350 - $4400 = -$50

Based on the result, Mr. Bobby does not need to spend any additional money to achieve an average price of $58 per share. In fact, he has actually already spent $50 more than necessary to achieve the desired average price.

(50*60 + 25*56 + 25x)/(50+25+25) = 58

now solve for x