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  1. I want to purchase a 6% stock which must yield 5% on my capital. At what price must I buy the stock ?
    1. Rs. 111
    2. Rs. 101
    3. Rs. 83.33
    4. Rs. 120
Correct Option: D

For an income of Rs. 5, investment = Rs. 100
For an income of Rs. 6, investment = Rs. (100/5) x 6 = Rs. 120


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