Mr. Ram Gopal invested ₹8000 in 7% (₹100) shares at ₹80. After a year he sold these shares at ₹75 each and invested the proceeds (including his dividend) in 18% (₹25) shares at ₹41. Find:
(i)His dividend for the first year
(ii)His annual income in the second year
(iii)The percentage increase in his return on his original investment.
I need the solution of third one....
Answers
Answered by
7
Answer:
fine mark me as brainleast and also don't forgot to follow me
Attachments:
Answered by
14
Dividend for the first year 700 Rs and annual income in 2nd year = Rs 9 and % increase is 2.5 %
Step-by-step explanation:
1st year :
- Investment = Rs. 8000
- Par value is Rs. 100
- Market value is Rs. 80
- Dividend is 7%
2nd year :
- Selling price per share is Rs. 75
- Par value Rs. 25
- Market value is Rs. 41
- Dividend is 18%
Number of shares purchased = Investment / M.V = 8000 / 80 = 100
Dividend per share = 7 / 100 x 100 = 7 Rs
Dividend for 1st year = 7 x 100 = 700 Rs
Sale proceeds = 75 x 100 = 7500 Rs
Investment in 2nd year = 18 / 100 x 25 = 4.5 Rs
Number of shares purchased in 2nd year = 8200 / 41 = 200
Annual income in 2nd year = 4.5 x 200 = 9 Rs
% increase = 200 / 8000 x 100 = 2.5 %
Similar questions