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.

(In reply to he gains by Daniel)

You saidhe lost 40 dollars and got a 20 dollar bike, gaining 20 dollars. But if you pay 40 dollars for a 20 dollar bike, thats losing money. Also, the bike is worth 40 dollars, as it says at the end. He paid 40 dollars for a 40 dollar bike, therefore broke even. HE BROKE EVEN!

Posted by Lewis on 2003-08-04 09:28:25