Use the commission schedule for Company B to find the annual rate of interest earned by each investment.  Use the commission schedule for Company B to find the annual rate of interest earned by each investment.

 

An investor purchases 250 shares at S14.73 a share, holds the stock for 42 weeks, and then sells the stock for $18.89 a share. 

Commission $28+1.7% of the principal $45+ 1.3% of the principal $105+0.6% of the principal.

Table 1 Company B Principal under $4,000 Commission $28+1.7% of the principal $45+ 1.3% of the principal S105+0.6% of the principal $4,000 to $10,000 over $10,000