1) Charlie has invested in the stock market. His investment goes down 30% for the first year in value; however, he does receive 1.0% in dividends. He now has an amount that is less than he started the year. Well he decides to leave his money in the same investments. Now this year his investments go up 30% He also receives the dividend which is about 1.1%. Charlie sells all of his stocks and places his money in the bank. For the buy and sell transactions he did not pay any commissions. Which is the correct answer?
a) Charlie made money
b) Charlie broke even
c) Charlie lost money
d) It is impossible to solve this problem
e) I have no earthly idea