## Stocks and Shares

#### Stocks and Shares

1. Find what sum of money 1 must invest in a 10 per cent stock at 102 to obtain an income of Rs. 400 per year ?
1. Rs. 4800
2. Rs. 8040
3. Rs. 4080
4. Rs. 8400

1. 400 = (Ans / 102) x 10
or Ans = (102 x 400) / 10

##### Correct Option: C

400 = (Ans / 102) x 10
or Ans = (102 x 400) / 10
∴ Ans = 102 x 40 = Rs. 4080

1. What rate % is obtained by investing in 7% at 5 discount ? (Brokerage 1/4 %)
1. 7.35%
2. 7.55%
3. 7.05%
4. 8%

1. Required answer = [7 / (100 - 5 + 0.25)] x 100

##### Correct Option: A

Required answer = [7 / (100 - 5 + 0.25)] x 100 = 7.349
= 7.35% (Approx. )

1. How much stock must be sold to realize Rs. 7350 from a stock at 105 ?
1. Rs. 7500
2. Rs. 6920
3. Rs. 7000
4. Rs. 6400

1. 7350 = (Amount of stock x 105 + 0) / 100

##### Correct Option: C

7350 = (Amount of stock x 105 + 0) / 100
∴ Amount of stock = (7350 x 100) / 105 = Rs. 7000

1. How much money is obtained from the sale of Rs. 1700 stock at 1061/4% ?
1. Rs. 1806.25
2. Rs. 1608.25
3. Rs. 1808.75
4. None of these

1. Required answer = [(1700 x 425) / 4] x 100

##### Correct Option: A

Required answer = [(1700 x 425) / 4] x 100
= Rs. 1806.25

1. Find the cost of 96 shares of Rs. 10 each at 3/4 discount brokerage being 1/4 per share ?
1. Rs. 912
2. Rs. 812
3. Rs. 712
4. None of these

1. Required answer = 96(10 - 3/4 + 1/4)

##### Correct Option: A

Required answer = 96(10 - 3/4 + 1/4) = Rs. 912