Question

Neel has invested in shares as follows. Find his total investment. Company A : 350 shares, FV = ` 10, premium = ` 7

Company B : 2750 shares, FV = ` 5, Discount = ` 1.

Company C : 50 shares, FV = ` 100, MV = ` 150.​

Answer 1

Solution : Company A : Premium = ` 7 MV = FV + Premium= 10 + 7 = ` 17.

:Investment in company A = Number of shares ´ MV = 350 ´ 17 = ` 5950.

Company B : FV = ` 5, MV = ` 4.

:Investment in company B = Number of shares ´ MV = 2750 ´ 4 = ` 11,000.

Company C : FV = ` 100, MV = ` 150.

:Investment in company C = Number of shares ´ MV = 50 ´ 150 = ` 7500.

Ans. Neel has invested 5950 + 11000 + 7500 = ` 24,450.