This Paper A short summary of this paper 37 Full PDFs related to this paper Sundar bought ₹ 4,500, 12% of ₹ 10 shares at par. He sold them when the price rose to ₹ 23 and invested the proceeds in ₹ 25 shares paying 10% per annum at ₹ 18. Find the change in his income. Number of shares = `4500/10` = 450 Income from 12% stock = Number of shares × face value × Rate of dividend = 450 × 10 × `12/100` = ₹ 540 Selling price of 450 shares = 450 × 23 = ₹ 10,350 Number of shares bought in 10% stock = `("Selling price of 450 shares at ₹ 23")/("Market value")` = `10350/18` = ₹ 575 Income, from 10% stock = No of shares × face value × Rate of dividend = 575 × 25 × 10100 = 575 × 104 = ₹ 1437.5 = ₹ 1437.50 Charge in his income = ₹ 1437.50 – ₹ 540 = ₹ 897.50 Concept: Stocks, Shares, Debentures and Brokerage Is there an error in this question or solution? > Suggest Corrections 7
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