Advertisements
Advertisements
Question
Babu sold some ₹ 100 shares at 10% discount and invested his sales proceeds in 15% of ₹ 50 shares at ₹ 33. Had he sold his shares at 10% premium instead of 10% discount, he would have earned ₹ 450 more. Find the number of shares sold by him.
Solution
Let the number of shares sold by Babu be x.
The face value of a share is ₹ 100.
He sold a 10% discount; the selling price of one share ₹ 90.
The selling price of x shares = ₹ 90x
He bought a share of face value ₹ 50 and the number of shares 33.
∴ Number of shares bought for the amount ₹ 90x i.e., `(90"x")/33`
∴ Face value of 50 shares = Cost of one share × Number of share
= `50 xx (90"x")/33`
The dividend is 15%.
∴ Income = `15/100` × Face value of 50 shares
= `15/100 xx 50 xx (90"x")/33`
= `(225"x")/11`
Suppose he sold his shares at 10% premium instead of 10% discount, the market value of one share is ₹ 110.
Selling price of x shares = 110 × x = 110x
Number of shares bought for ₹ 33 = `(110"x")/33`
Face value of 50 shares = `(110"x")/33` × 50
Income = `15/100 xx (110"x")/33 xx 50` = 25x
Change Income = ₹ 450
`25"x" = 225/11"x"` = 450
`(25 xx 11"x" - 225"x")/11` = 450
`(275"x" - 225"x")/11` = 450
`(50"x")/11` = 450
x = `450/50 xx 11` = 9 × 11 = 99 shares
APPEARS IN
RELATED QUESTIONS
Mohan invested ₹ 29,040 in 15% of ₹ 100 shares of a company quoted at a premium of 20%. Calculate
- the number of shares bought by Mohan
- his annual income from shares
- the percentage return on his investment
A man buys 400 of ₹ 10 shares at a premium of ₹ 2.50 on each share. If the rate of dividend is 12%, then find
- his investment
- annual dividend received by him
- rate of interest received by him on his money
A man invests ₹ 13,500 partly in 6% of ₹ 100 shares at ₹ 140 and the remaining in 5% of ₹ 100 shares at ₹ 125. If his total income is ₹ 560, how much has he invested in each?
Which is better investment? 7% of ₹ 100 shares at ₹ 120 (or) 8% of ₹ 100 shares at ₹ 135.
Which is better investment? 20% stock at 140 (or) 10% stock at 70.
If a man received a total dividend of ₹ 25,000 at 10% dividend rate on a stock of face value ₹ 100, then the number of shares purchased.
The brokerage paid by a person on the sale of 400 shares of face value ₹ 100 at 1% brokerage __________.
Purchasing price of one share of face value ₹ 100 available at a discount of `9 1/2%` with brokerage `1/2%` is ____________.
A person brought 100 shares of 9% stock of face value ₹ 100 at a discount of 10%, then the stock purchased is ____________.
The annual income on 500 shares of face value ₹ 100 at 15% is ___________.
