ML aggarwal( avichal publication)class 10th , chapter3, shares and dividends ……..

this has been asked in 2008 exam so this is very important question

we have that:-

A company with 4000 shares of nominal value of Rs. 110 declares annual dividend of 15%.

now we have to Calculate : (i) the total amount of dividend paid by the company,

(ii) the annual income of Shah Rukh who holds 88 shares in the company,

(iii) if he received only 10% on his investment, we have to find the price Shah Rukh paid for each share.

please solve all the three parts of this question separately.

Q no. 17, exercise 3, ML Publication, share and dividends

(i) Total dividend = r/100*N.V*no. of shares

= 15/100*110*4000

Rs.66,000

(ii) Annual Income = r/100 * N.V * No. of shares

= 15/100 * 110 * 88

Rs.1,452

(iii) Return Percent = 10%

Rate of dividend/100* N.V = Rate of Return/100 * M.V

15/100 * 110 = 10/100 * x

x = Rs.165