Question

A person invested ₹ 8000 in ₹ 100 shares selling at ₹ 80 per share and paying a divident of 15%. i) How many shares did he get? ii) What was his annual income? iii) Express his annual income as a percentage of his investment?

Answer 1

Answer :

Given : Market value of share = Rs . 80

And

Total investment = Rs . 8000

i ) Number of share = $\frac{8000}{80}$ = 100 ( Ans )

Face value of share = Rs . 100 and dividend = 15% ( Given )
So,

Dividend per share = 15% of 100 = $\frac{15\times 100}{100}$ = Rs . 15

ii ) Annual income = 15 $\times$ 100 = Rs . 1500 ( Ans )

iii ) Annual income as a percentage of his investment = $\frac{1500}{8000}\times 100=\frac{1500}{80}=\mathbf{18}\mathbf{.}\mathbf{75}\mathbf{\%}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{}\mathbf{(}\mathbf{Ans}\mathbf{}\mathbf{)}$