Question

Mohan holds 480 shares of a company and receives an annual dividend of ₹ 960. If the dividend he receives be 8% per annum, find the face value of share.

Answer 1

Given:

Number of shares = 480

Total annual dividend = ₹ 960

Dividend rate = 8%

Dividend per share:

`=960/480`

= ₹ 2

Dividend = Dividend Rate × Face Value

`=> 2 = 8/100xx` Face Value

Face Value `=(2xx100)/8`

= ₹ 25