# SELINA Solutions for Class 10 Maths Chapter 3 - Shares and Dividends

## Chapter 3 - Shares and Dividends Exercise Ex. 3(A)

How much money will be required to buy 400, Rs. 12.50 shares at a premium of Rs. 1?

How much money will be required to buy 250, Rs.15 shares at a discount of Rs.1.50?

A person buys 120 shares at a nominal value of Rs 40 each, which he sells at Rs 42.50 each. Find his profit and profit percent.

Nominal value of 120 shares = Rs 40 120= Rs 4,800

Market value of 120 shares= Rs 42.50 120= Rs 5,100

His profit = Rs 5,100 - Rs 4,800= Rs 300 Ans.

Find the cost of 85 shares of Rs 60 each when quoted at Rs 63.25.

Market value of 1 share= Rs 63.25

Market value of 85 shares= Rs 63.25 85= Rs 5,376.25 Ans.

A man invests Rs 800 in buying Rs 5 shares and when they are selling at a premium of Rs 1.15, he sells all the shares. Find his profit and profit percent.

Nominal value of 1 share = Rs 5

Market value 1 share = Rs 5 + Rs 1.15 = Rs 6.15

Total money invested = Rs 800

Market value of 160 shares= 160 x 6.15= Rs 984

His profit = Rs 984 - Rs 800= Rs 184 Ans.

Find the annual income derived from 125, Rs.120 shares paying 5% dividend.

A man invests Rs 3,072 in a company paying 5% per annum, when its Rs 10 share can be bought for Rs 16 each. Find :

(i)his annual income

(ii)his percentage income on his investment.

Market value of 1 share= Rs 16

Nominal value of 1 share= Rs 10

Money invested= Rs 3,072

Nominal value of 192 shares= 10 x 192= Rs 1,920

A man invests Rs 7,770 in a company paying 5% dividend when a share of nominal value of Rs 100 sells at a premium of Rs 5. Find:

(i)the number of shares bought;

(ii)annual income;

(iii)percentage income.

Total money invested= Rs 7,770

Nominal value of 1 share= Rs 100

Market value of 1 share= Rs 100 + Rs 5= Rs 105

Nominal value of 74 shares= 74 x 100= Rs 7,400

A man buys Rs 50 shares of a company, paying 12% dividend, at a premium of Rs 10. Find:

(i)the market value of 320 shares;

(ii)his annual income;

(iii)his profit percent.

Nominal value of 1 share= Rs 50

Market value of 1 share= Rs 50 + Rs 10= Rs 60

Market value of 320 shares= 320 x 60 = Rs 19,200

Nominal value of 320 shares= 320 x 50= Rs 16,000

A man buys Rs 75 shares at a discount of Rs 15 of a company paying 20% dividend. Find:

(i)the market value of 120 shares;

(ii)his annual income;

(iii)his profit percent.

Nominal value of 1 share= Rs 75

Market value of 1 share= Rs 75 - Rs 15= Rs 60

Market value of 120 shares= 120 x 60= Rs 7,200

Nominal value of 120 shares= 120 x 75= Rs 9,000

A man has 300, Rs 50 shares of a company paying 20% dividend. Find his net income after paying 3% income tax.

Nominal value of 1 share= Rs 50

Nominal value of 300 shares= 300 x 50 = Rs 15,000

His net income= Rs 3,000 - Rs 90= Rs 2,910 Ans.

A company pays a dividend of 15% on its ten-rupee shares from which it deducts income tax at the rate of 22%. Find the annual income of a man who owns one thousand shares of this company.

Nominal value of 1 share= Rs 10

Nominal value of 1000 shares= 1000 x 10 = Rs 10,000

His net income= Rs 1,500 - Rs 330= Rs 1,170 Ans.

A man invests Rs 8,800 in buying shares of a company of face value of rupees hundred each at a premium of 10%. If he earns Rs 1,200 at the end of the year as dividend, find:

(i)the number of shares he has in the company.

(ii)the dividend percent per share.

Total investment= Rs 8,800

Nominal value of 1 share= Rs 100

Market value of 1 share= Rs 110

Nominal value of 80 shares= 80 x 100= Rs 8,000

Let dividend%= y%

A man invests Rs 1,680 in buying shares of nominal value Rs 24 and selling at 12% premium. The dividend on the shares is 15% per annum. Calculate:

(i)the number of shares he buys;

(ii)the dividend he receives annually.

Nominal value of 1 share= Rs 24

Market value of 1 share= Rs 24+ 12% of Rs 24

= Rs 24+ Rs 2.88= Rs 26.88

Total investment= Rs 1,680

Nominal value of 62.5 shares= 62.5 x 24= Rs 1,500

By investing Rs 7,500 in a company paying 10 percent dividend, an annual income of Rs 500 is received. What price is paid for each of Rs 100 share ?

Total investment= Rs 7,500

Nominal value of 1 share= Rs 100

No. of shares purchased= y

Nominal value of y shares= 100 x y= Rs(100y)

Dividend%= 10%

Dividend = Rs 500

Ans.

## Chapter 3 - Shares and Dividends Exercise Ex. 3(B)

A man buys 75, Rs100 shares paying 9 percent dividend. He buys shares at such a price that he gets 12percent of his money. At what price did he buy the shares ?

Nominal value of 1share= Rs100

Nominal value of 75 shares= 100 75= Rs7,500

Dividend% = 9%

Let market price of 1 share= Rsy

Then market price of 75 shares= Rs75y

Profit% on investment= 12%

By purchasing Rs25 gas shares for Rs40 each, a man gets 4percent profit on his investment. What rate percent is the company paying? What is his dividend if he buys 60 shares?

Nominal value of 1 share= Rs25

Market value of 1 share= Rs40

Profit% on investment= 4%

Then profit on 1 share = 4% of Rs40= Rs1.60

Ans.

No. of shares purchased= 60

Then dividend on 60 shares= 60 Rs1.60= Rs96 Ans.

Hundred rupee shares of a company are available in the market at a premium of Rs20. Find the rate of dividend given by the company, when a man's return on his investment is 15%.

Nominal value of 1 share= Rs100

Market value of 1 share= Rs100+ Rs20= Rs120

Profit% on investment of 1 share=15%

Then profit= 15% of Rs120= Rs18

Ans.

Rs 50 shares of a company are quoted at a discount of 10%. Find the rate of dividend given by the company, the return on the investment on these shares being 20 percent.

Nominal value of 1 share= Rs50

Market value of 1 share= Rs50 - 10% of Rs50

= Rs50 - Rs5= Rs45

Profit % on investment= 20%

Then profit on 1 share= 20% of Rs45= Rs9

Ans.

A company declares 8 percent dividend to the share holders. If a man receives Rs2,840 as his dividend, find the nominal value of his shares.

Dividend% = 8%

Dividend = Rs2,840

Let nominal value of shares= Rsy

How much should a man invest in Rs100 shares selling at Rs110 to obtain an annual income of Rs1,680, if the dividend declared is 12%?

Nominal value of 1 share= Rs100

Market value of 1 share= Rs110

Let no. of shares purchased= n

Then nominal value of n shares= Rs(100n)

Dividend%= 12%

Dividend= Rs1,680

Then market value of 140 shares= 140 110= Rs15,400 Ans.

A company declares a dividend of 11.2% to all its share-holders. If its Rs60 share is available in the market at a premium of 25%, how much should Rakesh invest, in buying the shares of this company, in order to have an annual income of Rs1,680?

Nominal value of 1 share= Rs60

Market value of 1 share= Rs60+ 25% of Rs60

= Rs60+ Rs15= Rs75

Let no. of shares purchased= n

Then nominal value of n shares= Rs(60n)

Dividend%= 11.2%

Dividend= Rs1,680

Then market value of 250 shares= 250 75= Rs18,750 Ans.

A man buys 400, twenty-rupee shares at a premium of Rs4 each and receives a dividend of 12%. Find:

(i)the amount invested by him.

(ii)his total income from the shares.

(iii)percentage return on his money.

Nominal value of 1 share= Rs20

Market value of 1 share= Rs20+Rs4= Rs24

No. of shares purchased= 400

Nominal value of 400 shares= 400 x 20= Rs8,000

(i)Market value of 400 shares= 400 x 24= Rs9,600

(ii)Dividend%= 12%

Dividend = 12% of Rs8,000

(iii)

A man buys 400, twenty-rupee shares at a discount of 20% and receives a return of 12% on his money. Calculate:

(i)the amount invested by him.

(ii)the rate of dividend paid by the company.

Nominal value of 1 share= Rs20

Market value of 1 share= Rs20 - 20% of Rs20

= Rs20 - Rs4 = Rs16

No. of shares purchased= 400

Nominal value of 400 shares= 400 x 20= Rs8,000

(i)Market value of 400 shares= 400 x 16= Rs6,400

(ii)Return%= 12%

Income= 12% of Rs6,400

A company, with 10,000 shares of Rs100 each, declares an annual dividend of 5%.

(i)What is the total amount of dividend paid by the company?

(ii)What should be the annual income of a man who has 72 shares in the company?

(iii)If he received only 4% of his investment, find the price he paid for each share.

Nominal value of 1 share= Rs100

Nominal value of 10,000shares =10,000 x Rs100= Rs10,00,000

(i)Dividend%= 5%

Dividend = 5% of Rs10,00,000

(ii)Nominal value of 72 shares= Rs100 x 72= Rs7,200

Dividend= 5% of Rs7,200

(iii)Let market value of 1 share= Rs y

Then market value of 10,000 shares= Rs(10,000y)

Return%= 4%

A lady holds 1800, Rs100 shares of a company that pays 15% dividend annually. Calculate her annual dividend. If she had bought these shares at 40% premium, what is the return she gets as percent on her investment. Give your answer to the nearest integer.

Nominal value of 1 share= Rs100

Market value of 1 share= Rs100+40% of Rs100

= Rs100+Rs40= Rs140

No. of shares purchased= 1800

Nominal value of 1800 shares= 1800 x 100= Rs1,80,000

Market value of 1800 shares= 1800 x 140 = Rs2,52,000

(i)Dividend%= 15%

Dividend = 15% of Rs1,80,000

Ans.

(ii)

A man invests Rs11,200 in a company paying 6 percent per annum when its Rs 100 shares can be bought for Rs140. Find:

(i)his annual dividend

(ii)his percentage return on his investment.

Nominal value of 1 share= Rs100

Market value of 1 share= Rs140

Total investment= Rs11,200

Then nominal value of 80 shares= 80 x 100= Rs8,000

(i)Dividend%= 6%

Dividend= 6% of Rs8,000

(ii)

Mr. Sharma has 60 shares of nominal value Rs100 and sells them when they are at a premium of 60%. He invests the proceeds in shares of nominal value Rs50, quoted at 4% discount, and paying 18% dividend annually. Calculate :

(i)the sale proceeds

(ii)the number of shares he buys and

(iii)his annual dividend from the shares.

1^{st} case

Nominal value of 1 share= Rs100

Nominal value of 60 shares= Rs100 x 60= Rs6,000

Market value of 1 share= Rs100+ 60% of Rs100

= Rs100+ Rs60= Rs160

Market value of 60 shares= Rs160 x 60= Rs9,600 Ans.

(ii)Nominal value of 1 share= Rs50

Market value of 1 share= Rs50 - 4% of Rs50

= Rs50 - Rs2= Rs48

Ans.

(iii)Nominal value of 200 shares=Rs50 x 200= Rs10,000

Dividend%= 18%

Dividend= 18% of Rs10,000

Ans.

A company with 10,000 shares of nominal value Rs100 declares an annual dividend of 8% to the share-holders.

(i)Calculate the total amount of dividend paid by the company.

(ii)Ramesh had bought 90 shares of the company at Rs150 per share. Calculate the dividend he receives and the percentage of return on his investment.

(i)

Nominal value of 1 share= Rs100

Nominal value of 10,000 shares= Rs100 x 10,000= Rs10,00,000

Dividend%= 8%

Dividend = 8% of Rs10,00,000

(ii)

Market value of 90 shares= Rs150 x 90= Rs13,500

Nominal value of 90 shares= Rs100 x 90= Rs9,000

Dividend = 8% of Rs9,000

(iii)

Which is the better investment :

16% Rs.100 shares at 80 or 20% Rs.100 shares at 120?

1^{st} case

16%Rs.100 shares at 80 means;

Market value of 1 share= Rs80

Nominal value of 1 share= Rs100

Dividend= 16%

Income on Rs80= 16% of Rs100= Rs16

Income on Rs1

2^{nd} case

20% Rs.100 shares at 120 means;

Market value of 1 share= Rs120

Nominal value of 1 share= Rs100

Dividend= 20%

Income on Rs120= 20% of Rs100= Rs20

Income on Rs1

Then 16% Rs.100 shares at 80 is better investment.

A man has a choice to invest in hundred-rupee shares of two firms at Rs120 or at Rs132. The first firm pays a dividend of 5% per annum and the second firm pays a dividend of 6% per annum. Find: (i)which company is giving a better return.

(ii)if a man invests Rs26,400 with each firm, how much will be the difference between the annual returns from the two firms.

(i)

__1 ^{st} firm__

Market value of 1 share= Rs120

Nominal value of 1 share= Rs100

Dividend= 5%

Income on Rs120= 5% of Rs100= Rs5

Income on Rs1

__2 ^{nd} firm__

Market value of 1 share= Rs132

Nominal value of 1 share= Rs100

Dividend= 6%

Income on Rs132= 6% of Rs100= Rs6

Income on Rs1

Then investment in second company is giving better return Ans.

(ii)

Income on investment of Rs26,400 in first firm

Income on investment of Rs26,400 in second firm

A man bought 360, ten-rupee shares of a company, paying 12% per annum. He sold the shares when their price rose to Rs21 per share and invested the proceeds in five-rupee shares paying 4.5 percent per annum at Rs3.50 per share. Find the annual change in his income.

__1 ^{st} case__

Nominal value of 1 share= Rs10

Nominal value of 360 shares= Rs10 x 360= Rs3,600

Market value of 1 share= Rs21

Market value of 360 shares= Rs21 x 360= Rs7,560

Dividend%= 12%

Dividend= 12% of Rs3,600

__2 ^{nd} case__

Nominal value of 1 share= Rs5

Market value of 1 share= Rs3.50

Nominal value of 2160 shares=Rs5 x 2160= Rs10,800

Dividend%= 4.5%

Dividend= 4.5% of Rs10,800

Annual change in income= Rs486 - Rs432

= Rs54 increase Ans.

A man sold 400 (Rs20) shares of a company, paying 5% at Rs18 and invested the proceeds in (Rs10) shares of another company paying 7% at Rs12. How many (Rs10) shares did he buy and what was the change in his income?

__1 ^{st} case__

Nominal value of 1 share= Rs20

Nominal value of 400 shares= Rs20 x 400= Rs8,000

Market value of 1 share= Rs18

Market value of 400 shares= Rs18 x 400= Rs7,200

Dividend%= 5%

Dividend= 5% of Rs8,000

__2 ^{nd} case__

Nominal value of 1 share= Rs10

Market value of 1 share= Rs12

Ans.

Nominal value of 600 shares=Rs10 x 600= Rs6,000

Dividend%= 7%

Dividend= 7% of Rs6,000

Annual change in income= Rs420 - Rs400

= Rs20 increase Ans.

Two brothers A and B invest Rs16,000 each in buying shares of two companies. A buys 3% hundred-rupee shares at 80 and B buys ten-rupee shares at par. If they both receive equal dividend at the end of the year, find the rate per cent of the dividend received by B.

For A

Total investment= Rs16,000

Nominal value of 1 share= Rs100

Market value of 1 share= Rs80

Nominal value of 200 shares= Rs100 x 200= Rs20,000

Dividend%= 3%

Dividend = 3% of Rs20,000

For B

Total investment= Rs16,000

Nominal value of 1 share= Rs10

Market value of 1 share= Rs10

Nominal value of 1600shares= 10 x 1600= Rs16,000

Dividend received by B= Dividend received by A

= Rs600

A man invests Rs20,020 in buying shares of nominal value Rs26 at 10% premium. The dividend on the shares is 15% per annum. Calculate : (i)the number of shares he buys.

(ii)the dividend he receives annually.

(iii)the rate of interest he gets on his money.

Total investment= Rs20,020

Nominal value of 1 share= Rs26

Market value of 1 share= Rs26+ 10% of Rs26

= Rs26+ Rs2.60= Rs28.60

Ans.

Nominal value of 700 shares= Rs26 x 700= Rs18,200

Dividend%= 15%

Dividend= 15% of Rs18,200

Ans.

## Chapter 3 - Shares and Dividends Exercise Ex. 3(C)

By investing Rs.45,000 in 10% Rs.100 shares, Sharad gets Rs.3,000 as dividend. Find the market value of each share.

Mrs. Kulkarni invests Rs.1, 31,040 in buying Rs.100 shares at a discount of 9%. She sells shares worth Rs.72,000 at a premium of 10% and the rest at a discount of 5%. Find her total gain or loss on the whole.

A man invests a certain sum on buying 15% Rs.100 shares at 20% premium. Find :

(i) His income from one share

(ii) The number of shares bought to have an income, from the dividend, Rs.6480

(iii) Sum invested

Gagan invested Rs.80% of his savings in 10% Rs.100 shares at 20% premium and the rest of his savings in 20% Rs.50 shares at Rs.20% discount. If his incomes from these shares is Rs.5,600 calculate:

(i) His investment in shares on the whole

(ii) The number of shares of first kind that he bought

(iii) Percentage return, on the shares bought on the whole.

Ashwarya bought 496, Rs.100 shares at Rs.132 each, find :

(i) Investment made by her

(ii) Income of Ashwarya from these shares, if the rate of dividend is 7.5%.

(iii) How much extra must ashwarya invest in order to increase her income by Rs.7,200

Gopal has some Rs.100 shares of company A, paying 10% dividend. He sells a certain number of these shares at a discount of 20% and invests the proceeds in Rs.100 shares at Rs.60 of company B paying 20% dividend. If his income, from the shares sold, increases by Rs.18,000, find the number of shares sold by Gopal.

A man invests a certain sum of money in 6% hundred-rupee shares at Rs.12 premium. When the shares fell to Rs.96, he sold out all the shares bought and invested the proceed in 10%, ten-rupee shares at Rs.8. If the change in his income is Rs.540, Find the sum invested originally

Mr. Gupta has a choice to invest in ten-rupee shares of two firms at Rs13 or at Rs16. If the first firm pays 5% dividend and the second firm pays 6% dividend per annum, find:

(i)which firm is paying better.

(ii)if Mr. Gupta invests equally in both the firms and the difference between the returns from them is Rs30, find how much, in all, does he invest.

(i)

__1 ^{st} firm__

Nominal value of 1 share= Rs10

Market value of 1 share= Rs13

Dividend%= 5%

Dividend = 5% of Rs10= Rs0.50

__2 ^{nd} firm__

Nominal value of 1 share= Rs10

Market value of 1 share= Rs16

Dividend%= 6%

Dividend = 6% of Rs10= Rs0.60

Then first firm is paying better than second firm.

(ii)

Let money invested in each firm= Rs y

__For 1 ^{st} firm__

Total dividend

__For 2 ^{nd} firm__

Total dividend

Given- difference of both dividend= Rs30

Total money invested in both firms= Rs31,200 2

= Rs62,400 Ans.

Ashok invested Rs.26,400 in 12%, Rs.25 shares of a company. If he receives a dividend of Rs.2,475, find the:

(i) number of shares he bought.

(ii) market value of each share.

(i) Total dividend = Rs. 2,475

(ii) Market value of 825 shares = Rs. 26,400

A man invested Rs45,000 in 15% Rs100shares quoted at Rs125. When the market value of these shares rose to Rs140, he sold some shares, just enough to raise Rs8,400. Calculate:

(i)the number of shares he still holds;

(ii)the dividend due to him on these remaining shares.

(i)

Total investment= Rs45,000

Market value of 1 share= Rs125

Nominal value of 360 shares= Rs100 x 360= Rs36,000

Let no. of shares sold= n

Then sale price of 1 share= Rs140

Total sale price of n shares= Rs8,400

Then

The no. of shares he still holds= 360 - 60= 300

(ii)

Nominal value of 300 shares= Rs100 300= Rs30,000

Dividend%= 15%

Dividend = 15% of Rs30,000

Mr.Tiwari. invested Rs29,040 in 15% Rs100 shares quoted at a premium of 20%. Calculate:

(i)the number of shares bought by Mr. Tiwari.

(ii)Mr. Tiwari's income from the investment.

(iii)the percentage return on his investment.

Total investment= Rs29,040

Nominal value of 1 share= Rs100

Market value of 1 share= Rs100+ 20% of Rs100

= Rs100 + Rs20=Rs120

Nominal value of 242 shares= Rs100 x 242= Rs24,200

Dividend%= 15%

Dividend= 15% of Rs24,200

A dividend of 12% was declared on Rs150 shares selling at a certain price. If the rate of return is 10%, calculate:

(i)the market value of the shares.

(ii)the amount to be invested to obtain an annual dividend of Rs1,350.

(i)Nominal value of 1 share= Rs150

Dividend%= 12%

Dividend on I share= 12% of Rs150

Let market value of 1 share= Rs y

Return%= 10%

(ii)when dividend is Rs18, then investment is Rs180

When dividend is Rs1,350, then investment

=Rs 13, 500

Divide Rs50,760 into two parts such that if one part is invested in 8% Rs100 shares at 8% discount and the other in 9% Rs100 shares at 8% premium, the annual incomes from both the investments are equal.

Total investment= Rs50,760

Let 1^{st} part= Rs y

2^{nd} part=
Rs(50,760-y)

__For 1 ^{st} part__

Nominal value of 1 share= Rs100

Market value of 1 share= Rs100 - 8% of Rs100

= Rs100 - Rs8= Rs92

Dividend%= 8%

Dividend on 1 share= 8% of Rs100= Rs8

Total dividend

__For 2 ^{nd} part__

Nominal value of 1 share= Rs100

Market value of 1 share= Rs100 + 8% of Rs100

= Rs100 + Rs8= Rs108

Dividend%= 9%

Dividend on 1 share= 9% of Rs100= Rs9

Total dividend

Given that both dividend are equal

Then

1^{st} part= Rs24,840

2^{nd} part= Rs50760 -
Rs24,840= Rs25,920 Ans.

Mr. Shameem invested of his savings in 20% Rs50 shares quoted at Rs60 and the remainder of the savings in 10% Rs100 share quoted at Rs110. If his total income from these investments is Rs9,200; find :

(i)his total savings (ii)the number of Rs50 share

(iii)the number of Rs100 share.

Let his total savings is Rs y

__1 ^{st} case__

His saving= of y = Rs

Market price of 1 share= Rs60

Then shares purchased=

Dividend on 1share= 20% of Rs50= Rs10

Total dividend=

__2 ^{nd} case __

His saving= of y= Rs

Market price of 1share= Rs110

Then shares purchased =

Dividend on 1share= 10% of Rs100= Rs10

Total dividend=

According to question

Total income = Rs9,200

The number of Rs50share= Ans.

The number of Rs100 share= Ans.

Vivek invests Rs4,500 in 8%, Rs10 shares at Rs15. He sells the shares when the price rises to Rs30, and invests the proceeds in 12% Rs100 shares at Rs125. Calculate :

(i)the sale proceeds

(ii)the number of Rs125 shares he buys.

(iii)the change in his annual income from dividend.

__1 ^{st} case__

Total investment= Rs4,500

Market value of 1 share= Rs15

Nominal value of 1 share= Rs10

Nominal value of 300 shares= Rs10 300= Rs3,000

Dividend=8% of Rs3,000

Sale price of 1 share= Rs30

Total sale price= Rs30 x 300= Rs9,000 Ans.

(ii)new market price of 1 share= Rs125

Ans.

(iii)

New nominal value of 1 share= Rs100

New nominal value of 72 shares= Rs100 x 72= Rs7,200

Dividend%= 12%

New dividend= 12% of Rs7,200

Change in annual income= Rs864 - Rs240

= Rs624 Ans.

Mr.Parekh invested Rs.52,000 on Rs.100 shares at a discount of Rs.20 paying 8% dividend. At the end of one year he sells the shares at a premium of Rs.20. Find:

(i)The annual dividend

(ii)The profit earned including his dividend.

Rate of dividend = 8%

Investment = Rs.52000

Market Rate = Rs.100 - 20 = Rs.80

No. of shares purchased =

(i) Annual dividend = 650 × 8 = Rs.5200 Ans.

(ii) On selling, market rate = Rs.100+20 = Rs.120

Sale price = 650 × 120 = Rs.78000

Profit = Rs.78000 - Rs.52000 = Rs.26000

Total gain = 26000 + 5200 = Rs.31200 Ans.

Salman buys 50 shares of face value Rs.100 available at Rs.132.

(i) What is his investment?

(ii) If the dividend is 7.5%, what will be his annual income?

(iii) If he wants to increase his annual income by Rs.150, how many extra shares should he buy?

Salman invests a sum of money in Rs.50 shares, paying 15% dividend quoted at 20% premium. If his annual dividend is Rs.600, calculate :

(i) The number of shares he bought.

(ii) His total investment.

(iii) The rate of return on his investment.

Rohit invested Rs. 9,600 on Rs. 100 shares at Rs. 20 premium paying 8% dividend. Rohit sold the shares when the price rose to Rs. 160. He invested the proceeds (excluding dividend) in 10% Rs. 50 shares at Rs. 40. Find the :

(i) Original number of shares.

(ii) Sale proceeds.

(iii) New number of shares.

(iv) Change in the two dividends.

How much should a man invest in Rs. 50 shares selling at Rs. 60 to obtain an income of Rs. 450, if the rate of dividend declared is 10%. Also find his yield percent, to the nearest whole number.

Face value of each share = Rs. 50

Dividend(%)=10%

Dividend on 1 share =

∴Number of shares bought =

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