Question

100 shares of FV * 10 were purchased for MV 25. Company declared 20% dividend on the shares. Find,
(i) the sum invested.
(ii) dividend received.
(iii) rate of return.​

Answer 1

sum invested = rs 2500

dividend received = rs 200

rate of return = 200/2500 X 100

= 8 percent

Answer 2

Step-by-step explanation:

$\bold {\sf {\underline {GIVEN}}}$

$\sf FV = Rs.10$

$\sf MV = Rs.25$

$\sf Shares = 100$

$\sf Dividend = 20 prt$

$\bold {\sf {\underline {TO\:FIND}}}$

$\sf (I) \:Sum \:Invested$

$\sf (II) \: dividend\:received$

$\sf (III) \: Rate\: Of\: Return (ROR)$

$\bold {\sf {\underline {SOLUTION}}}$

$\sf Sum \: invested = MV × Shares$

$\sf = 25 × 100$

$\sf = 2500$

$\boxed {\sf {\bold { \therefore { Sum\:invested = Rs. 2500}}}}$

$\sf Dividend \:per\: share = FV × 20 prt$

$\sf = 10 × \frac {20}{100}$

$\sf = Rs.2$

$\sf Dividend \:Received = 2 × 100$

$\boxed {\sf {\bold { \therefore { Dividend \:Received = Rs. 200}}}}$

$\sf ROR = \frac {Dividend}{Sum\:invested} × 100$

$\sf ROR = \frac{200}{2500}×100$

$\sf ROR = 8 prt$

$\boxed {\sf {\bold { \therefore { Rate \:Of \:Return = 8 prt }}}}$

THANKS!!!