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Question
How much money will be required to buy 125, Rs. 30 shares at a discount of Rs. 3?
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Solution
Nominal value of 1 share = Rs. 30
Market value of 1 share
= Rs. 30 – Rs. 3
= Rs. 27
No. of shares purchased = 125
Money required to buy 125 shares
= Rs. 27 × 125
= Rs. 3,375
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