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# A man bought 360 ten-rupee shares of a company paying 12 percent per annum. He sold the shares when their price rose to Rs. 21 per share and invested the proceeds in five-rupee shares paying 4.5 per cent per annum at Rs. 3.50 per share. Find the annual changes in his income.

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important question from the book -ML aggarwal( avichal publication)class 10th , chapter3, shares and dividends

we have given that A man bought 360 ten-rupee shares of a company paying 12 percent per annum.
He sold the shares when their price rose to Rs. 21 per share and invested the proceeds in five-rupee shares paying 4.5 per cent per annum at Rs. 3.50 per share.
kinldy please explain it how to Find the annual changes in his income.

Q no. 25, exercise 3, ML Publication, share and dividends

Share

1. In the 1st case-

No of sharesÂ =360

N.V of 1 shareÂ =Rs.10

Rate of dividendÂ =12%

âˆ´Income on 1 shareÂ =12%Â ofÂ 10Â =10012â€‹Ã—10=Rs.1.2

â‡’Total income=360Ã—1.2=Rs.432

Now he sell all the shares for Rs.21 each

âˆ´Money obtained by selling all the 360 shares=360Ã—21=Rs.7560

In the 2nd case-

Sum investedÂ =Rs.7560

N.V of 1 shareÂ =Rs.5

Rate of dividendÂ =4.5%

M.V of 1 shareÂ =Rs.3.50

âˆ´No. of share=3.507560â€‹=2160

Dividend onÂ 1Â shareÂ =4.5%Â  of Rs.Â 5Â =1004.5â€‹Ã—5=RsÂ .225

â‡’TotalÂ income=2160Ã—.225=Rs.486

âˆ´Change in income=Rs.486âˆ’Rs.432=Rs.54

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