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A Man Invests Rs. 22,500 in Rs. 50 Shares Available at 10% Discount. If the Dividend Paid by the Company is 12%, Calculate: He Number of Shares Purchased and the Annual Dividend Received. - ICSE Class 10 - Mathematics

ConceptShares and Dividends Examples

Question

A man invests Rs. 22,500 in Rs. 50 shares available at 10% discount. If the dividend paid by the company is 12%, calculate:

1) The number of shares purchased

3) The rate of return he gets on his investment. Give your answer correct to the nearest whole number.

Solution

Total investment = Rs.22,500

Face value = Rs.50

Discount = 10/100 xx 50 = Rs 5

Market value = Face value - discount = Rs.45

Total shares purchased = 22500/45 = 500

Total dividend = 12/100 xx 50 xx 500 = 3000

Rateof return = 3000/22500 xx 100 = 13.33% ~~ 13%

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2017-2018 (March) (with solutions)
Question 5.2 | 3.00 marks

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Solution A Man Invests Rs. 22,500 in Rs. 50 Shares Available at 10% Discount. If the Dividend Paid by the Company is 12%, Calculate: He Number of Shares Purchased and the Annual Dividend Received. Concept: Shares and Dividends Examples.
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