If buy price is zero, the division is undefined or the profit is “infinite” because you spent nothing to acquire the asset.
Having a profit of 100% would mean just selling at double the buy price, but nothing stops you at selling at 3x or 4x, having a profit of 200% or 300%.
To give a better example, try with lower and lower “buy price” (approaching zero). You’ll see that the profit goes unlimitedly up
I may be wrong, no attacks intended (better to specify lol)
Actually 🤓☝️ it’s more like ∞% profit or undetermined
Still would only be 100% profit. Costed nothing to get them, so when you sell them, they will be 100% profit.
Profit = (sell price - buy price)/buy price
If buy price is zero, the division is undefined or the profit is “infinite” because you spent nothing to acquire the asset.
Having a profit of 100% would mean just selling at double the buy price, but nothing stops you at selling at 3x or 4x, having a profit of 200% or 300%.
To give a better example, try with lower and lower “buy price” (approaching zero). You’ll see that the profit goes unlimitedly up
I may be wrong, no attacks intended (better to specify lol)
I think everyone in this thread is right. We seem to be disagreeing over the use of the article ‘a’.
The OP said it would be “100% profit” which is correct. This is in the general sense that they paid nothing so that any price would be pure profit.
You’re talking specific numbers, hence it is “a 100% profit”. Depending on the price it could be any percentage like “a 213.75% profit”.
You’re both correct! It’s funny how English works, right?!
Pretty much. No costs of buying the shares so it would be all profit.
Never thought of that, cool!