Sponsor Area

Shares and Dividends

Question
ICSEENIMA10018867

Ashok invested  Rs. 26,400  on  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

Solution

(i) Total dividend  =  Rs. 2,475

Dividend on each share = 12%  of  Rs. 25                                      = 12100 x 25                                      = Rs. 3 Number of shares bought = Total dividendDividend on 1 share                                              = 24753                                              = 825 ( ii ) Market value of each share = Total InvestmentNumber of shares bought                                                   = 26400825                                                   = Rs. 32.