Answer:
$ 32.95
Step-by-step explanation:
Cost of Stock at 2010= $ 50
Declining rate each year= 8%
We have to find cost of stock at 2015
Cost of stock after 5 years= $ 50 [tex](1-\frac{8}{100} )^{5}[/tex]
Value of stock after 5 years= $ 50 [tex](\frac{100-8}{100} )^{5}[/tex]
Value of stock after 5 years= $ 50 [tex](\frac{92}{100} )^{5}[/tex]
Value of stock after 5 years= $ 32.95
Hence, the correct answer is $ 32.95
