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  • Question
  • Find the income derived form 44 shares of Rs. 25 each at 5 premium (brokerage 1/4 per share ), the rate of dividend being 5%. Also find the rate of interest in the investment?


  • Options
  • A. Rs. 60.5, 4.55 %
  • B. Rs. 60, 5%
  • C. Rs. 80.5, 5.55 %
  • D. None of these

  • Correct Answer
  • Rs. 60.5, 4.55 % 

    Explanation

    Cost of shares = 44(25 + 5 + 1/4) = Rs. 1331
    ? Investment made = Rs. 1331
    Now, face value of 1 share = Rs. 25
    ? Face value of 44 shares = Rs. (44 x 25) = Rs. 1100

    Now, dividend on Rs. 100 = Rs. 11/2
    ? Dividend on Rs. 1100 = Rs. [(11/2) / 100] x 1100 = Rs. 60.50

    Also, income on investment of Rs. 1331 = Rs. 60.50
    ? Income on investment of Rs. 100 = Rs. (60.50 / 1331) x 100 = 4.55%


  • Stocks and Shares problems


    Search Results


    • 1. 
      A company declared an annual dividend of 10%. Find out the annual dividend of Ram owning 1500 shares of the company of face value $ 10 each.

    • Options
    • A. $ 1400
    • B. $ 1500
    • C. $ 1700
    • D. $ 1600
    • Discuss
    • 2. 
      What rate of interest is obtained from investing in 12 3/ 4 percent stock when the price is at premium of 2 percent?

    • Options
    • A. 25%
    • B. 81/3
    • C. 121/2%
    • D. 112/3%
    • Discuss
    • 3. 
      Find the purchase cost of 66 shares of Rs. 35 each at 10 premium, brokerage being 1% per share?

    • Options
    • A. Rs. 3630
    • B. Rs. 3360
    • C. Rs. 3063
    • D. Rs. 3036
    • Discuss
    • 4. 
      How much stock must be sold to realize Rs. 8190 from a stock at 118? (Brokerage 1%)

    • Options
    • A. Rs. 7100
    • B. Rs. 7050
    • C. Rs. 6850
    • D. Rs. 7000
    • Discuss
    • 5. 
      What rate of interest is obtained from investing in 8 1/ 2% per cent stock when the quoted price is 6.5 percent below par?

    • Options
    • A. 81/11%
    • B. 91/11%
    • C. 111/9%
    • D. 101/9%
    • Discuss
    • 6. 
      A company declared an annual dividend of 10%. Find out the annual dividend received by Anu owning 4000 shares of the company having a face value of $ 100 each.

    • Options
    • A. $ 45000
    • B. $ 40000
    • C. $ 50000
    • D. $ 60000
    • Discuss
    • 7. 
      Jatin invested $ 27260 in buying $ 100 shares of a company at $ 116 each. If the company paid 16% dividend at the end of the year, find his income from the dividend.

    • Options
    • A. $ 3560
    • B. $ 2760
    • C. $ 3760
    • D. $ 3660
    • Discuss
    • 8. 
      Find the income on 12% stock of $ 60000 purchased at $ 110.

    • Options
    • A. $ 7200
    • B. $ 7500
    • C. $ 7400
    • D. $ 8200
    • Discuss
    • 9. 
      Find out the investment required to get an income of $ 1938 from 91/2% stock at 90 (Brokerage 1%).

    • Options
    • A. $ 19642.60
    • B. $ 17543.00
    • C. $ 18543.60
    • D. $ 18600.60
    • Discuss
    • 10. 
      A company has issued 10000 preferred shares and 50000 common shares both of par value $ 100 each. The dividend on a preferred share and a common share is 12% and 17.6%, respectively. The company had a total profit of $ 15 Millions, out of which some amount was kept in reserve fund and the remaining distributed as dividend. Find out the amount kept in reserve fund.

    • Options
    • A. $ 5 Million
    • B. $ 6 Million
    • C. $ 6.5 Million
    • D. $ 5.5 Million
    • Discuss


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