Mrs. Sethi, purchased 300 shares of FV Rs. 60 at a premium of Rs. 80. She received 40% dividend on the shares. After receiving the dividend she sold 200 shares at a discount of Rs. 20 and remaining shares were sold at a premium of Rs. 95. For each trade she paid the brokerage of Rs. 40. Find whether Mrs. Shethi gained or incurred a loss? by how much ? (Show all the proper steps and solve the sum)
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Mr Dsouza purchased 200 shares of face value rs 50 at a premium of rs 100 he received 50% dividend on the shares .After receiving the dividend he sold 100 shares at a discount of rs 10 and remaining shares were sold at a premium rs 75 for each trade he paid the brokerage of rs 20 find whether mr Dsouza gained or incurred a loss?By how much?
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Answer:
Purchase Price = [300 x ( 60 + 80 )] + 40 = 42040
Cost of Purchadr = 42,040
Dividend = (300 x 60) x 40% = 7,200
Note : The dividend received from profit of previous year on share acquired during the year is known as pre acquisition dividend and as per AS 13 this pre acquisition is deducted from purchase price and accordingly per share value will get decrease
Adjusted purchase price = 42040 - 7200 = 34,840
Per share price = 34,840 / 300 = Rs 116.13
Sale of share
Part-1 : for 200 shares
A. Cost price = 200 x 116.13= 23,226
B. Selling Price = [ 200 x (60 - 20) ] - 40 = 7,960
Loss on sale = (A-B) = 15,266
Part-2 : for 100 share
A. Selling Price = [ 100 x ( 60+ 95 ) ] - 40 = 15,460
B. Cost = 100 x 116.13 = 11,613
Profit on sale = 15,460 - 11,613 = 3,847
Step-by-step explanation:
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