Question

The Sum Invested in shares is calculated as:

Options

• \[ \text{Sum Invested} = \text{Dividend per share} \times \text{FV} \]

• \[ \text{Sum Invested} = \frac{\text{Number of shares}}{\text{MV}} \]

• \[ \text{Sum Invested} = \text{Number of shares} \times \text{MV} \]

• \[ \text{Sum Invested} = \text{Number of shares} \times \text{FV} \]

Answer 1

Sum Invested is the total amount spent to buy shares, calculated as Number of shares × MV, since shares are purchased at their Market Value.