Please solve the 10th question.
Please do not provide any link.
Q.10. A man invested Rs. 45,000 in 15 % Rs. 100 shares quoted at Rs. 125. When the M. V. of these shares rose to Rs. 140, he sold some shares, just enough to raise Rs. 8,400. Calculate :
(i) the number of shares he still holds;
(ii) the dividend due to him on these remaining shares.



Dear Student,


Given :  45000 has been invested in buying shares at Market Value of  125 each.Initial value of share is  100 on which dividend of 15% will be paid on each share.Also, Market Value of these shares rose to  140 and some shares are sold just enough to rise  8400.To Calculate : (i) No. of Share he still hold     (ii)the dividend on these remaining sharesSolution : (i) Total no. of share bought at  125 per share on investing  45000 is 45000125=360and Total no. of share sold at  140 per share for raising  8400 is 8400140=60So, The no. of Share he still hold is 360-60=300(ii) As we know dividend is given on initial value So, Dividend on these remaining shares=100×15%×no. of remaining sharesDividend on these remaining shares=100×15100×300= 4500
Hope this information will clear your doubts about topic.       

If you have any more doubts just ask here on the forum and our experts will try to help you out as soon as possible.       

Keep posting!!       

Regards     
 

  • 0
Points to note:
1)Rs 100 was the initial value of the share but it has no bearing for the sum since market value is what they purchase it for, so selling and buying of shares is done at Market Value.
2) Dividend is paid on the initial value  Rs 100  and not market valuei.e. 15% of 100 15 Rs per share

Rs 45000 was invested to buy shares with MV(Market Value) of Rs 125 each
so shares bought i s 45000/125 = 360

Shares sold worth Rs 8400 at MV of Rs 140
so number of shares sold = 8400/140 = 60

1) Shares remaining = 360 - 60 = 300


2) Dividend is thus 15%* 100 * 300  =  Rs 4500 # Divident % * Initial Value per share * Number of shares
  • 0
What are you looking for?