Beer and the stock market
Summarized from an article in the Toronto Sun Sept 5, 2001.
On July 26, 2000, Jim and John each got a $1000 bonus from their employer. Jim put the whole $1000 in his employer’s stock. With the transaction cost of $35, he was able to buy 7 shares of Nortel at $123 each. John used his $1000 to buy 66 cases of beer (1584 bottles of beer). At 15 bottles a week he would have beer for a year.
In the summer of 2001, both Jim and John were laid off. Jim sold his 7 Nortel shares at $12 each and after the $35 transaction fee was left with $49. John finished the last beer and cashed in his empties for $158.40
This page was last updated October 13, 2001.