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SHARES AND DIVIDENDS

PREVIOUS YEAR’S QUESTIONS

1. A man invests `4500 in shares of a company which is paying 7.5% dividend.


If `100 shares are available at a discount of 10%, find:
a. Number of shares he purchases.
b. His annual income.
2. Sachin invests `8500 in 10% `100 shares at `170. He sells the shares when
the price of each share rise by `30. He invests the proceeds in 12% `100
shares quoted `125. Find:
a. The sale proceeds.
b. The number of `125 shares he buys.
c. The change in his annual income.

3. A man invests `22,500 in `50 shares available at 10% discount. If the


dividend paid by the company is 12%, calculate:
a. The number of shares he purchased.
b. The annual dividend received.
c. The rate of return he gets on his investment. Give your answer to the
nearest whole number.

4. How much should a man invest in `50 shares selling at `60 to obtain an
income of `450, if the rate of dividend declared is 10%. Also find his yield
percent, to the nearest whole number.

5. Ashok invested `26,400 on 12% `25 shares of a company. If he receives a


dividend of `2475, find:
a) The number of shares he bought.
b) The market value of each share.

6. Rohit invested `9600 on `100 shares at `20 premium paying 8% dividend.


Rohit sold the shares when the price rose to `160 and invested the proceeds
in 10% `50 shares at `40. Find:
a. Original number of shares.
b. Sale proceeds.
c. New number of shares.
d. Change in annual income.
7. Salman invests a sum of money in `50 shares, paying 15% dividend quoted
at 20% premium. If his annual dividend is `600, calculate:
a. The number of shares he bought.
b. His total investment.
c. The rate of return on his investment.

8. Salman buys 50 shares of face value `100 available at `132.


a. What is his investment?
b. If the dividend is 7.5%, what will be his annual income?
c. If he wants to increase his annual income by `150, how many extra shares
should he buy?

9. A man invests `9600 on `100 shares at `80. If the company pays him 18%
dividend, find:
a. The number of shares he buys.
b. His total dividend.
c. His percentage return on the shares.

10. Mr. Parekh invested `52000 on `100 shares at a discount of 20% paying 8%
dividend. At the end of one year he sells the shares at a premium of `20.
Find:
a. The annual dividend.
b. The profit earned including his dividend.

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