Question

A man buys Rs. 25 shares in company which pays 9 % dividend. The money invested is such that it gives 10 % on investment. At what price did he buy the shares

Answer 1

• Suppose he buys each share for Rs. x.

• Then, Rs.25*9100=x*1010 or x = Rs. 22.50.

• Cost of each share = Rs. 22.50.