Question

A company declares a dividend of 20% on its equity share if a share whose face value is rs10 is purchase for rs30 what is the percentage return on investment ​

Answer 1

Answer:

20%dividend on face value 100 =Rs 12

sum invested on 1 share =30

therefore rate of return=dividend ÷sum suminvested ×100

=12÷30×100

=40%