Question

A company declares 8 % half yearly dividend. A person has 250 shares of ₹ 20 (nominal value) each. What will he receive as yearly dividend?

• A. Rs 1100
• B. Rs 1000
• C. Rs 900
• D. Rs 800

Answer 1

The correct option is D

Rs 800

The person has 250 shares of nominal value ₹ 20.
Rate of dividend half yearly = 8%
Therefore rate of yearly dividend = 16%
Yearly dividend = $250\times 20\times \left(\frac{16}{100}\right)=₹800$