Question

The face value of the shares is Rs. 100 Their premium is 5℅; So find the market price of that stock​

Answer 1

Answer:

Given that,

Face value of share=Rs.100

Market value of shareRs.750

∴ Total amount invested =25×70=Rs.1750

Dividend =20%

∴ Total divided on 25 shares=20×25=Rs.1500

Now,

Rate of return=suminvestedtotaldivided×100

=1750500×100

28.57%

Then,

We get 28.57%