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Question

A company with 4000 shares of nominal value of Rs 110 each declares an annual dividend of 15. Calculate the total amount of dividend paid by the company.

A
66,000
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B
56,000
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C
46,000
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D
None of the above
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Solution

The correct option is A 66,000
Given that total shares (N) =4000
Rate of dividend declare on one share (r) =15
And value of share =Rs 110
Then total dividend =r100×N×V=15100×4000×110=Rs66000

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