Question

7) Pavan invested 18,000 rs in 2 points
buying shares of face value
10rs . if the total face value of
his shares is 75000 rs then the
market of each of his share is,
0 O
a) 750
O
b) 24
O c) 1,800
O d) None of these​

Answer 1

Answer:

ANSWER

Face value of 1 share =Rs. 100

Market value of 1 share =Rs. (100+

100

10

×100)

=Rs. (100+10)

=Rs. 110

Investment =Rs. 8,800

Annual dividend =Rs. 1200

(i) Total number of shares =

110

8800

=80 shares

(ii) Dividend percentage per share =

80×100

1200

×100

=15%.

Answer 2

The Market value of each share is 2.4 Rs

Given:

Total investment amount = 18000 Rs

Face Value of share = 10 Rs

Total Face Value of all shares = 75000 Rs

To Find:

Market value of share

Solution:

Face Value is the value at which the share is introduced in Market.

Market Value is the value of the share perceive in the Market.

Number of shares bought = Total Face Value of all shares/ Face value of a share

= 75000/10

=7500

So the number of shares bought by Pavan is 7500.

Since the Total Face Value is more than the invested amount, it means that Market value of share is lower than face value.

Market value of  a share = Amount Invested/Number of shares

= 18000/7500

=2.4

So the Market value of each share is 2.4 Rs

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