In order to obtain an income of ₹ 650 from 10% stock at ₹ 96, one must make an investment of

### Concept & Total Investment Required To find the required investment to achieve a target income, calculate the number of shares needed based on the dividend per share, and then multiply by the market price. $$ \text{Investment} = \left( \frac{\text{Target Income}}{\text{Dividend per Share}} \right) \times \text{Market Value} $$ ### Step-by-Step Solution * **Given:** Target Income = ₹ 650, Dividend = 10% (so ₹ 10 per ₹ 100 share), Market Value = ₹ 96. * **Step 1: Calculate the number of shares needed.** Number of shares = $\frac{\text{Total Income}}{\text{Income per share}} = \frac{650}{10} = 65$ shares. * **Step 2: Calculate total investment.** Total Investment = $\text{Number of shares} \times \text{Market Value}$ Total Investment = $65 \times 96$ * **Step 3: Compute final value.** $65 \times 96 = 65 \times (100 - 4) = 6500 - 260 = 6240$. ### Exam Strategy & Shortcut Rather than hard multiplication, use the distributive property: $65 \times 96 = 65 \times (100 - 4) = 6500 - 260 = 6240$. This mental math trick saves significant time. ### Common Pitfall Confusing Face Value and Market Value, and calculating the investment as $65 \times 100 = 6500$ (option c). Remember, you buy at the Market Value! ### Final Answer Therefore, the correct answer is **₹ 6240**.