A man invests Rs.9600 on Rs. 100 shares at Rs. 80 If the company pays him 18% dividend find:
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Answered by
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Answer:
The answer is 22.5%
Step-by-step explanation:
Total investment = 9600
Nominal share value = 100
market value of share is = 80
rate of dividend =18%
no of share brought = total investment/mv of share = 9600/80 = 120
Dividend on 1 share = 18% of nv = 18/100*100 = Rs 18
Total dividend = 18*120 = RS2160
percentage return = [income/ investment *100] % = [2160/9600 * 100]% = 22.5%
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