Question

Suppose that a certain fortunate person has a net worth of $76.0 billion ($7.60×1010). If his stock has a good year and gains $3.20 billion (3.20×109) in value, what is his new net worth?

= 7.92 x 10^10 dollars

Suppose that this individual now decides to give one-eighth of a percent of his new net worth to charity. How many dollars are given to charity?

_________ dollars ?

Answer 1

Initial net worth of the person = P₁ = 7.6 x 10¹⁰ dollars

Amount gained by this person in the good year = P₂ = 3.2 x 10⁹ dollars

New net worth of the person = P₃

P₃ = P₁ + P₂

P₃ = 7.6x10¹⁰ + 3.2x10⁹

P₃ = 7.92 x 10¹⁰ dollars

The individual now gives one-eight of a percent of his new net worth to charity that is the person gives 0.125% of his new net worth to the charity

Amount of money the person gives to charity = P₄

P₄ = 9.9 x 10⁷ dollars

Amount given to the charity = 9.9 x 10⁷ dollars