Question

Find the cost of purchasing 240 shares of a company each of value rs 120 quotes at rs 150 each in the market feom the shareholder. Also find the gain to rhe new shareholder if he sells each share at a premium of rs 200

Answer 1

Answer:

Purchase Price = 36000

Gain =40800

Gain% = 113.33%

Step-by-step explanation:

Number of Shares = 240

Share Face Value = Rs 120 / Share

Share Market Price = Rs 150 / Share

Cost of Purchasing  240 Shares = Number Of Shares * Market Price

= 240 * 150

= Rs 36000

Sold at premium of Rs 200

Selling Price = Face Value + Premium

= 120 + 200

= 320 / Share

Selling Price  = 240 * 320

= Rs 76800

Gain = 76800 - 36000 = Rs 40800

Gain % = (40800/36000) * 100 = 113.33 %