| Pay cash for 100 shares of a $50 stock | $5,000 |
| Stock rises to $70 | +$2,000 |
| Total value when shares are sold | $7,000 |
| Subtract initial cash investment | –$5,000 |
| Profit | $2,000 |
| Pay cash for 100 shares of a $50 stock | $5,000 |
| Stock rises to $70 | +$2,000 |
| Total value when shares are sold | $7,000 |
| Subtract initial cash investment | –$5,000 |
| Profit | $2,000 |