Calculating Percentage Gain and Loss

The video tutorial explains how to calculate the percentage gain needed to recover from a 10% stock loss. Starting with a stock valued at $100, a 10% loss reduces it to $90. To find the gain required to return to the original value, an equation is set up and solved, revealing that an 11.1% gain is necessary to recover the loss.

If a stock loses 10% of its value, what is the new value of a $100 stock?

• $80

• $85

• $90

• $95

What is the first step in calculating the percentage gain needed to recover a 10% loss?

• Multiply the current value by 1.1

• Set up an equation with the current value

• Add 10 to the current value

• Subtract 10 from the original value

What equation is used to find the percentage gain needed to recover the original stock value?

• 90 + x = 100

• 100x = 90

• 100 - x = 90

• 90x = 10

What is the percentage gain required to recover from a 10% loss?

• 12%

• 11.1%

• 9.9%

• 10%

How is the percentage gain expressed as a decimal?

• 0.11

• 0.1

• 0.111

• 0.101