Problem regarding the price of the netron share

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Reference no: EM13990589

A share trader has a policy of selling a share if its share price drops more than one-third of its purchase price. In January, the investor bought shares in Netron

(an electronics company) for 90c per share. The table below shows the price of the Netron share at the end of  each month.

If the trend in the under-performance of the Netron share price continues, identify, using the least square trendline method, when the investor is likely to sell his holdings in Netron shares.

Month

Share price (c)

Jan

90

Feb

82

Mar

78

Apr

80

May

74

Jun

76

Jul

70

Reference no: EM13990589

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