Question

Mr. Balu invested Rs. 15,000 in 10 %, Rs. 100 shares at Rs. 120, and also invested Rs. 24,000 in 12%, Rs. 120 shares at Rs. 100. The total earnings from the two investments is

• A. Rs. 4500
  
• B. Rs. 4706
  
• C. Rs. 4700
  
• D. Rs. 4509
  

Answer 1

The correct option is B Rs. 4706

On the first investment :

Number of shares = $\frac{15000}{120}=125$

Dividend earned = $\frac{10}{100}\times 125=Rs.1250$

On the second investment :

Number of shares = $\frac{24000}{100}=240$

Dividend earned = $240\times \frac{12}{100}\times 120=Rs.3456$

Total earnings = Rs. 4706