Mike wanted to buy a bike, and he found one he liked at $20, so he bought it. The next day, a friend saw it and offered $30 dollars for it so Mike agreed. He later bought it back for $40. Again someone saw it and offered $50 and again Mike sold it. Mike finally rebought the bike for good for $60. Mike then took it to a bike show where a man told him the bike was worth $40.

Deciding to keep it, did Mike gain or lose money on the transactions? Count the bikes worth in the problem.

The question of 'did Mike gain or lose money on the transactions' is not affected by the bike's worth. Mike spent (lost) $40 total and gained a bicycle.

Posted by Scott on 2003-07-31 06:06:21