Question

a man invests rs. 22400 in a company paying 6% per annum whrn its rs 100 shares can be bought for rs 140 . find : (i) his annual income (ii) his percentage income on his investment​

Answer 1

hope this answer will be helpful..

Answer 2

Given :--

• Nominal value of 1 share = Rs 100
• Market value of 1 share = Rs 140
• Total investment = Rs 22400
• Annual % = 6 %

To Find :--

• His annual dividend ?
• His % income on his investment ?

Solution :---

→ Total Number of share Purchased = Total investment/Mark value = 22400/140 = 160 .

→ Total Nominal value of these 160 shares = 160 * 100 = Rs.16000

Now, annual paying is given 6% .

→ 6% of 16000 = 6*16000/100 = Rs.960 .

(Answer of Part 1 )

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Part (2)

→ % income on His investment = income*100/investment

→ % = 960*100/22400 = 4.29% (Approx)