When the Scott Pearson Company's Stock Increased in Value from $100.00

question 119

Essay

When the Scott Pearson Company's stock increased in value from $100.00 per share to
$125.00 per share, the company reported to its shareholders that their stocks had increased
in value by 25%. The stock price remained fixed at $125 for a few months, but then it fell
back down to $100.00 per share. At that time, the Scott Pearson Company reported to the
shareholders that the stock had decreased by 20%. Since the price increase and decrease are
exactly the same, should not the percent increase and the percent decrease be equal?
Explain.

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Definitions:

Internal And External Influences

Internal and external influences refer to the various factors within an individual or in their external environment that affect their thoughts, behaviors, decisions, and overall psychological well-being.

Nuclear Family

A family unit consisting of two parents (mother and father) and their children, living together as a single unit.

Multigenerational

Pertaining to or affecting several generations, often used to describe families, housing, or policies that consider the needs of multiple ages.

Biological

Related to the study of living organisms and their vital processes, often emphasizing genetic and physiological attributes.