Rs 25 shares of a company are selling at Rs 20.if the company is paying a dividend of 12% then rate of return is.

Open in App

Solution

In your you not mentioned number of shares so I am considering number of shares is 200.
Other can't answer this question.

Investment on 1 share = ₹ (25 + 20) = Rs 45

Investment in buying 200 shares = ₹ (200×45) = Rs 9000

Rate of dividend = 12%

Income on 1 share =12%of₹25 =(12100×25)=₹ 3

Income on 200 shares =₹(200×3)=₹600

Therefore percentage return on his investment =TotalincomeTotalinvestment×100

=(6009000×100)%=6.67%

Suggest Corrections

Similar questions

Q. If

50

shares of FV Rs

10

were purchased for MV Rs

25

. The company declared

30 %

dividend on the shares, then what is the rate of return?

R s . 100

shares of a company are sold at a discount of

R s . 20

. If the return on the investment is

15 %

, find the rate of dividend declared.

Q. Karan invests Rs. 18,000 by buying Rs. 100 shares of a company available at a discount of Rs. 10. If the company pays a dividend of 10%, then find the number of shares bought by Karan, and the rate of return on his investment.

A man buys Rs 20 share at a premium of Rs 10 share. If the company pays $9 %$ dividend, find the percentage return on his investment in buying 200 shares.

Q. Rahul purchased 80 shares of FV ₹60 at a premium of ₹20. If the company is paying 15% dividend, then the rate of return on investment is:

Join BYJU'S Learning Program