Question

A man has 300, Rs. 50 shares of a company paying 20% dividend. Find his net income after paying 3% income tax.

• A. $Rs.1,720$
• B. $Rs17460$
• C. $Rs.3,420$
• D. None of these

Answer 1

The correct option is B $Rs17460$

A man has 50 share withe value of Rs.300

Total value of 50 share$=50\times 300=Rs.15000$

Dividend$=\frac{20}{100}\times 15000=3000$

Total value$=15000+3000=Rs.18000$

His net income after paying 3 % income tax$=18000-\frac{3}{100}\times 18000$

$\Rightarrow 18000-540=Rs.17460$