Stocks and Shares


  1. Rs. 2780 are invested party in 4% stock at 75 and 5% stock at 80 to have equal amount of incomes. The investment in 5% stock is ?
    1. Rs. 1500
    2. Rs. 1280
    3. Rs. 1434.84
    4. Rs. 1640

  1. View Hint View Answer Discuss in Forum

    Let the investment in 4% stock be Rs. N.
    Then, investment in 5% stock = Rs. (2780 - N)
    Income from 4% stock = Rs. (4/75) x N
    Income from 5% stock = Rs. [(5/80 x (2780 - N)]
    ∴ 4N / 75 = (2780 - N) / 16
    or N = 1500

    Correct Option: B

    Let the investment in 4% stock be Rs. N.
    Then, investment in 5% stock = Rs. (2780 - N)
    Income from 4% stock = Rs. (4/75) x N
    Income from 5% stock = Rs. [(5/80 x (2780 - N)]
    ∴ 4N / 75 = (2780 - N) / 16
    or N = 1500
    So, investment in 5% stock = Rs. (2780 - 1500) = Rs. 1280


  1. A man invested Rs. 4455 in Rs. 10 shares quoted at Rs. 8.25. If the rate of dividend be 6% his annual income is ?
    1. Rs. 267.30
    2. Rs. 327.80
    3. Rs. 324
    4. Rs. 103.70

  1. View Hint View Answer Discuss in Forum

    Number of shares = 4455 / 8.25 = 540
    Face value = Rs. (540 x 10) = Rs. 5400
    Income = Rs. (6/100) x 5400

    Correct Option: C

    Number of shares = 4455 / 8.25 = 540
    Face value = Rs. (540 x 10) = Rs. 5400
    Income = Rs. (6/100) x 5400 = Rs. 324



  1. A man bought 20 shares of Rs. 50 at 5 discount the rate of dividend being 43/4% The rate of interest obtained is ?
    1. 43/4%
    2. 31/4%
    3. 5.28%
    4. 4.95%

  1. View Hint View Answer Discuss in Forum

    Face value = Rs. (50 x 20) = Rs. 1000
    Dividend = Rs. (1000 x 19) / (4 x 100) = Rs. 95/2
    Investment = Rs. (45 x 20) = Rs. 900

    Correct Option: C

    Face value = Rs. (50 x 20) = Rs. 1000
    Dividend = Rs. (1000 x 19) / (4 x 100) = Rs. 95/2
    Investment = Rs. (45 x 20) = Rs. 900
    Rate = Rs. (95 x 100) / (2 x 900) = 5.28%


  1. A man buys Rs. 20 shares paying 9% dividend. The man want to have an interest of 12% on his money. The market value of each share must be ?
    1. Rs. 12
    2. Rs. 15
    3. Rs. 18
    4. Rs. 21

  1. View Hint View Answer Discuss in Forum

    Dividend on Rs. 20 = Rs. 9 / (100 x 20) = Rs. 9/5
    Rs. 12 is an income on Rs. 100
    ∴ Rs. 9/5 is an income on Rs. (100/12) x (9/5)

    Correct Option: B

    Dividend on Rs. 20 = Rs. 9 / (100 x 20) = Rs. 9/5
    Rs. 12 is an income on Rs. 100
    ∴ Rs. 9/5 is an income on Rs. (100/12) x (9/5) = Rs. 15



  1. A man invested Rs. 388 in a stock at 97 to obtain and income of Rs. 22. The dividend from the stock is ?
    1. 12%
    2. 3%
    3. 51/2%
    4. 22.68%

  1. View Hint View Answer Discuss in Forum

    When investment is Rs. 388, income = Rs. 22
    When investment is Rs. 97, income = Rs. (22 / 388) x 97 = Rs. 5.50

    Correct Option: C

    When investment is Rs. 388, income = Rs. 22
    When investment is Rs. 97, income = Rs. (22 / 388) x 97 = Rs. 5.50
    ∴ Dividend on Rs. 100 stock = 51/2%