7. Total Equity-
Cash Balance- $24,660.94
Potential cash balance- $98,907.91
Company Equity
Ford $7,552.71
General Motors $7,740.64
Google $15,086.34
Jack $19,921.24
Total $50,300.93
8. Company Original cost Current Cost % Change
Ford 16.44 16.6 1%
GM 38.29 35.85 -6%
Google 559.13 547.9 -2%
Jack 97.12 94 -3%
Editor's Notes
Our four major investments were
Ford
General Motors
Google
Jack In The Box
And we made these investments because at the time they seemed the most steadily progressive and high earning companies around.
Henry Ford founded ford motors and the model T in October of 1908. The reason we chose ford was because it was a lower cost share, yet steadily advancing and is a fairly renowned car company.
GM was founded by William c. Durant & Charles S. Mott and is an American automobile company. Seeming as reliable or more so as Ford, we decided to invest in GM hoping if we did not profit from Ford, we would from General Motor customers.
Google was founded by Larry Page & Sergey Brin and is a Vast information Database that is very popular. The reason we chose google was because of its popularity and its presumed progress that later proved to be wrong.
Jack in the Box was founded by Robert O. Peterson and is a fairly popular fast food franchise in the United States. We chose jack in the box because its graph too showed steady, reliable increase yet proved to slightly decrease later. Also because it is a medium sized share-hold that seemed to only be able to increase, as seen from past events.
Our total equity was based off of the presumed potential each company had, then multiplied by the percentage of our original holdings that we felt sufficient enough. Jack in the box showed the greatest chances of profit so we put the highest percentage of our 100,000 into Jack in the box. After investing, we kept approximately 25,000 for future investments and came to a conclusion that if we currently sold all of our shares, we would have a balance of 98,907.91.
We calculated percentage change for each company and found, surprisingly, that Ford was the only company that returned even a little of our investment. General motors was easily our worst investment and showed a change of 6%, which could have been much more devastating to our equity had we invested a greater amount. Google and Jack in the Box showed minimal change in investment and could assumedly change and become profitable at any moment.
