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Ashutosh Invested Rs 58,500 in Buying Shares of Rs 150 Each of 'Van Chemicals', When It Was Available in the Market at a Premium of 30%.

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Question

Ashutosh invested Rs 58,500 in buying shares of Rs 150 each of 'Van Chemicals', when it was available in the market at a premium of 30%. He sells one third of them at a market rate of Rs 215, one third of them at a market rate of Rs 195 and the rest at Rs 175. Find his loss or gain from the transaction.

Sum
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Solution

Investment by Ashutosh =Rs 58,500 

Price at which Ashutosh purchased one share = 

Rs ( 150 + 30°/o of Rs 150) =Rs (150 + 45) =Rs 195 

No. of shares purchased by Ashutosh = `58500/195`= 300 

Shares sold at Rs 215 = 1/3 x 300 = 100 

Selling price of 100 shares at Rs 215 

= Rs ( 100 x 215) = Rs 21,500 ........... (i) 

Shares sold at Rs 195 = 1/3 x 300 = 100

Selling price of 100 shares at Rs 175

=Rs (100 x 175) =Rs 17,500 ........... (iii) 

Adding ( i), (ii) and (iii), gives total money Ashutosh received by selling his shares

=Rs (21,500 + 19,500 + 17,500) =Rs 58,500 

Difference in selling price and cost price= Rs (58,500 -58,500) 

=Rs 0.

Hence, Ashutosh sold his shares at no loss or no gain. 

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Chapter 3: Shares and Dividends - Exercise 4.1 [Page 61]

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Frank Mathematics Part 2 [English] Class 10 ICSE
Chapter 3 Shares and Dividends
Exercise 4.1 | Q 9 | Page 61

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