Question

1. A man invested Rs.45000 in 15% rs.100 shares quotes at Rs.125. when the market value of these shares rose to Rs.140, he sold some shares, just enough to raise Rs.8400. Calculate

1. The number of shares, he still holds.

2. The dividend due to him on these remaining shares.

Answer 1

Number of shares which he purchased = Rs.45000/Rs.125 = 360.

1. Let the number of shares he sold be x ,
   As per question, Rs.140 × x = Rs.8400
   Or, x = Rs.8400 /Rs.140 = 60.
   Hence number of shares still with him = 360 – 60 = 300. [Ans.]
2. Dividend per share = 15% of Rs.100 = Rs.15.
   Hence dividend for 300 shares = Rs.15 × 300 = Rs.4500. [Ans.]