Is it simply a matter of adding up the profits from each transaction? Many would rush to say $400, but let’s take a closer look.
The first transaction netted $200. Then, with $1,100 invested and $1,300 earned, that’s another $200. Altogether, it seems like $400 in profit.
However, the puzzle is about more than just arithmetic. It’s about understanding the flow of money and how investments and returns work together.
Re-evaluating each step reveals that the profits are straightforward when viewed in isolation but can be misleading when aggregated.
Each purchase and sale cycle stands alone, yet they are part of a larger system of reinvestment and return.
Despite the intricacies, the puzzle boils down to adding those individual profits: $200 from the first sale and $200 from the second, making the total earnings indeed $400.
