wiz-icon
MyQuestionIcon
MyQuestionIcon
1
You visited us 1 times! Enjoying our articles? Unlock Full Access!
Question

A man sells 60 , Rs 15 shares of a company paying 12 % p.a. dividend at Rs 21 each and invested the proceeds in Rs 6share of another company at Rs 9 each . Find his change in income if the second company pays him a dividend of 8%.

Open in App
Solution

Selling price of 60Rs 15 shares at Rs 21 each = Rs 21 × 60 = Rs 1260Market price of Rs 6 share = Rs 9So, number of Rs 6 shares purchased = 12609 = 140Dividend on 1 share of Rs 15 = 12% of Rs 15 = 12100×15 = Rs95Income on 60Rs 15 shares = Rs 95×60 = Rs 108Dividend on 1 share of Rs 6 = 8% of Rs 6 = 8100×6 = Re 0.48Income on 140Rs 6 shares =0.48×140 =Rs 67.20Change in annual income = Rs 108 - Rs 67.20 = Rs 40.80decrease

flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Calculating and Comparing Population Growth
GEOGRAPHY
Watch in App
Join BYJU'S Learning Program
CrossIcon