Shares and Dividends Exercise 3A – Selina Concise Mathematics Class 10 ICSE Solutions<\/h3>\n
Question 1.<\/strong><\/span> Question 2.<\/strong><\/span> Question 3.<\/strong><\/span> Question 4.<\/strong><\/span> Question 5.<\/strong><\/span> Question 6.<\/strong><\/span> Question 7.<\/strong><\/span> Question 8.<\/strong><\/span> Question 9.<\/strong><\/span> Question 10.<\/strong><\/span> Question 11.<\/strong><\/span> Question 12.<\/strong><\/span> Question 13.<\/strong><\/span> Question 14.<\/strong><\/span> Question 15.<\/strong><\/span> Question 1.<\/strong><\/span> Question 2.<\/strong><\/span> Question 3.<\/strong><\/span> Question 4.<\/strong><\/span> Question 5.<\/strong><\/span> Question 6.<\/strong><\/span> Question 7.<\/strong><\/span> Question 8.<\/strong><\/span> Question 9.<\/strong><\/span> Question 10.<\/strong><\/span> Question 11.<\/strong><\/span> Question 12.<\/strong><\/span> Question 13.<\/strong><\/span> Question 14.<\/strong><\/span> Question 15.<\/strong><\/span> Question 16.<\/strong><\/span> Question 17.<\/strong><\/span> Question 18.<\/strong><\/span> Question 19.<\/strong><\/span> Question 20.<\/strong><\/span> Question 1.<\/strong><\/span> Question 2.<\/strong><\/span> Question 3.<\/strong><\/span> Question 4.<\/strong><\/span> Question 5.<\/strong><\/span> A company pays a dividend of 15% on its \u20b9 100 shares from which income tax at the rate of 20% is deducted. Find : Mr. Joseph sold some \u20b9 100 shares paying 10% dividend at a discount of 25% and invested the proceeds in \u20b9 100 shares paying 16% dividend at a discount of 20%. By doing so, his income was increased by \u20b9 4,800. Find the number of shares originally held by Mr. Joseph. Question 6.<\/strong><\/span> Question 7.<\/strong><\/span> Question 8.<\/strong><\/span> Question 9.<\/strong><\/span> Question 10.<\/strong><\/span> Question 11.<\/strong><\/span> Question 12.<\/strong><\/span> Question 13.<\/strong><\/span> Question 14.<\/strong><\/span>
\nHow much money will be required to buy 400, \u20b9 12.50 shares at a premium of \u20b9 1?
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-1.jpg\")
<\/p>\n
\nHow much money will be required to buy 250, \u20b9 15 shares at a discount of \u20b9 1.50?
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-2.jpg\")
<\/p>\n
\nA person buys 120 shares at a nominal value of \u20b9 40 each, which he sells at \u20b9 42.50 each. Find his profit and profit percent.
\nSolution:<\/strong><\/span>
\nNominal value of 120 shares = \u20b9 40 \u00d7 120= \u20b9 4,800
\nMarket value of 120 shares = \u20b9 42.50 \u00d7 120= \u20b9 5,100
\nHis profit = \u20b9 5,100 – \u20b9 4,800 = \u20b9 300
\nprofit = \\(\\frac { 300 }{ 4800 }\\) \u00d7 100% = 6.25%<\/p>\n
\nFind the cost of 85 shares of \u20b9 60 each when quoted at \u20b9 63.25.
\nSolution:<\/strong><\/span>
\nMarket value of 1 share = \u20b9 63.25
\nMarket value of 85 shares = \u20b9 63.25 \u00d7 85 = \u20b9 5,376.25<\/p>\n
\nA man invests \u20b9 800 in buying \u20b9 5 shares and when they are selling at a premium of \u20b9 1.15, he sells all the shares. Find his profit and profit percent.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 5
\nMarket value 1 share = \u20b9 5 + \u20b9 1.15 = \u20b9 6.15
\nTotal money invested = \u20b9 800
\nNo of shares purchased = \\(\\frac { 800 }{ 5 }\\) = 160
\nMarket value of 160 shares = 160 \u00d7 6.15= \u20b9 984
\nHis profit = \u20b9 984 – \u20b9 800 = \u20b9 184
\nprofit = \\(\\frac { 184 }{ 800 }\\) \u00d7 100% = 23%<\/p>\n
\nFind the annual income derived from 125, \u20b9 120 shares paying 5% dividend.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 60
\nNominal value 250 shares= \u20b9 60 x 250= \u20b9 15,000
\nDividend = 5% of \u20b9 15,000
\n= \\(\\frac { 5 }{ 100 }\\) \u00d7 15,000 = \u20b9 750<\/p>\n
\nA man invests \u20b9 3,072 in a company paying 5% per annum, when its \u20b9 10 share can be bought for \u20b9 16 each. Find :
\n(i) his annual income
\n(ii) his percentage income on his investment.
\nSolution:<\/strong><\/span>
\nMarket value of 1 share = \u20b9 16
\nNominal value of 1share = \u20b9 10
\nMoney invested = \u20b9 3,072
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-3.jpg\")
<\/p>\n
\nA man invests \u20b9 7,770 in a company paying 5% dividend when a share of nominal value of \u20b9 100 sells at a premium of \u20b9 5. Find:
\n(i) the number of shares bought;
\n(ii) annual income;
\n(iii) percentage income.
\nSolution:<\/strong><\/span>
\nTotal money invested = \u20b9 7,770
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 100 + \u20b9 5 = \u20b9 105
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-4.jpg\")
<\/p>\n
\nA man buys \u20b9 50 shares of a company, paying 12% dividend, at a premium of \u20b9 10. Find:
\n(i) the market value of 320 shares;
\n(ii) his annual income;
\n(iii) his profit percent.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 50
\nMarket value of 1 share = \u20b9 50 + \u20b9 10 = \u20b9 60
\nMarket value of 320 shares = 320 x 60 = \u20b9 19,200
\nNominal value of 320 shares = 320 x 5 = \u20b9 16,000
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-5.jpg\")
<\/p>\n
\nA man buys \u20b9 75 shares at a discount of \u20b9 15 of a company paying 20% dividend. Find:
\n(i) the market value of 120 shares;
\n(ii) his annual income;
\n(iii) his profit percent.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 75
\nMarket value of 1 share = \u20b9 75 – \u20b9 15 = \u20b9 60
\nMarket value of 120 shares = 120 \u00d7 60 = \u20b9 7,200
\nNominal value of 120 shares = 120 \u00d7 75 = \u20b9 9,000
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-6.jpg\")
<\/p>\n
\nA man has 300, \u20b9 50 shares of a company paying 20% dividend. Find his net income after paying 3% income tax.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 50
\nNominal value of 300 shares = 300 \u00d7 50 = \u20b9 15,000
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-7.jpg\")
\nHis net income = \u20b9 3,000 – \u20b9 90 = \u20b9 2,910<\/p>\n
\nA company pays a dividend of 15% on its ten-rupee shares from which it deducts income tax at the rate of 22%. Find the annual income of a man who owns one thousand shares of this company.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 10
\nNominal value of 1000 shares = 1000 \u00d7 10 = \u20b9 10,000
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-8.jpg\")
\nHis net income = \u20b9 1,500 – \u20b9 330 = \u20b9 1,170<\/p>\n
\nA man invests \u20b9 8,800 in buying shares of a company of face value of rupees hundred each at a premium of 10%. If he earns \u20b9 1,200 at the end of the year as dividend, find:
\n(i) the number of shares he has in the company.
\n(ii) the dividend percent per share.
\nSolution:<\/strong><\/span>
\nTotal investment = \u20b9 8,800
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 110
\n\u2234 No of shares purchased = \\(\\frac { 8800 }{ 110 }\\) = 80
\nNominal value of 80 shares = 80 \u00d7 100= \u20b9 8,000
\nLet dividend% = y%
\nthen y% of \u20b9 8,000 = \u20b9 1,200
\n\u21d2 \\(\\frac { y }{ 100 }\\) \u00d7 8,000 = 1,200
\n\u21d2 y = 15%<\/p>\n
\nA man invests \u20b9 1,680 in buying shares of nominal value \u20b9 24 and selling at 12% premium. The dividend on the shares is 15% per annum. Calculate:
\n(i) the number of shares he buys;
\n(ii) the dividend he receives annually.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 24
\nMarket value of 1 share = \u20b9 24+ 12% of \u20b9 24
\n= \u20b9 24+ \u20b9 2.88= \u20b9 26.88
\nTotal investment = \u20b9 1,680
\n\u2234 No of shares purchased = \\(\\frac { 1680 }{ 26.88 }\\) = 62.5
\nNominal value of 62.5 shares = 62.5 x 24= \u20b9 1,500
\nDividend = 15% of \u20b9 1,500
\n= \\(\\frac { 15 }{ 100 }\\) \u00d7 1,500 = \u20b9 225<\/p>\n
\nBy investing \u20b9 7,500 in a company paying 10 percent dividend, an annual income of \u20b9 500 is received. What price is paid for each of \u20b9 100 share ?
\nSolution:<\/strong><\/span>
\nTotal investment = \u20b9 7,500
\nNominal value of 1 share = \u20b9 100
\nNo. of shares purchased = y
\nNominal value of y shares = 100 x y = \u20b9 (100y)
\nDividend% = 10%
\nDividend = \u20b9 500
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-9.jpg\")
<\/p>\nShares and Dividends Exercise 3B – Selina Concise Mathematics Class 10 ICSE Solutions<\/h3>\n
\nA man buys 75, \u20b9 100 shares of a company which pays 9 percent dividend. He buys shares at such a price that he gets 12 percent of his money. At what price did he buy the shares ?
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-10.jpg\")
<\/p>\n
\nBy purchasing \u20b9 25 gas shares for \u20b9 40 each, a man gets 4 percent profit on his investment. What rate percent is the company paying? What is his dividend if he buys 60 shares?
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 25
\nMarket value of 1 share = \u20b9 40
\nProfit% on investment = 4%
\nThen profit on 1 share = 4% of \u20b9 40= \u20b9 1.60
\n\u2234 Dividend% = \\(\\frac { 1.60 }{ 25 }\\) \u00d7 100% = 6.4%
\nNo. of shares purchased= 60
\nThen dividend on 60 shares = 60 \u00d7 \u20b9 1.60 = \u20b9 96<\/p>\n
\nHundred rupee shares of a company are available in the market at a premium of \u20b9 20. Find the rate of dividend given by the company, when a man’s return on his investment is 15%.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 100 + \u20b9 20 = \u20b9 120
\nProfit% on investment of 1 share =15%
\nThen profit= 15% of \u20b9 120 = \u20b9 18
\n\u2234 Dividend% = \\(\\frac { 18 }{ 100 }\\) \u00d7 100% = 18%<\/p>\n
\n\u20b9 50 shares of a company are quoted at a discount of 10%. Find the rate of dividend given by the company, the return on the investment on these shares being 20 percent.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 50
\nMarket value of 1 share = \u20b9 50 – 10% of \u20b9 50
\n= \u20b9 50 – \u20b9 5 = \u20b9 45
\nProfit % on investment = 20%
\nThen profit on 1 share = 20% of \u20b9 45 = \u20b9 9
\n\u2234 Dividend% = \\(\\frac { 9 }{ 50 }\\) \u00d7 100% = 18%<\/p>\n
\nA company declares 8 percent dividend to the share holders. If a man receives \u20b9 2,840 as his dividend, find the nominal value of his shares.
\nSolution:<\/strong><\/span>
\nDividend% = 8%
\nDividend = \u20b9 2,840
\nLet nominal value of shares = \u20b9 y
\nthen 8% of y = \u20b9 2,840
\n\u21d2 \\(\\frac { 8 }{ 100 }\\) \u00d7 y = \u20b9 2,840
\n\u21d2 y = \u20b9 35000<\/p>\n
\nHow much should a man invest in \u20b9 100 shares selling at \u20b9 110 to obtain an annual income of \u20b9 1,680, if the dividend declared is 12%?
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 110
\nLet no. of shares purchased = n
\nThen nominal value of n shares = \u20b9 (100n)
\nDividend% = 12%
\nDividend = \u20b9 1,680
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-12.jpg\")
\nThen market value of 140 shares= 140 \u00d7 110 = \u20b9 15,400<\/p>\n
\nA company declares a dividend of 11.2% to all its share-holders. If its \u20b9 60 share is available in the market at a premium of 25%, how much should Rakesh invest, in buying the shares of this company, in order to have an annual income of \u20b9 1,680?
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 60
\nMarket value of 1 share = \u20b9 60+ 25% of \u20b9 60
\n= \u20b9 60 + \u20b9 15 = \u20b9 75
\nLet no. of shares purchased = n
\nThen nominal value of n shares = \u20b9 (60n)
\nDividend% = 11.2%
\nDividend = \u20b9 1,680
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-13.jpg\")
\nThen market value of 250 shares = 250 \u00d7 75 = \u20b9 18,750<\/p>\n
\nA man buys 400, twenty-rupee shares at a premium of \u20b9 4 each and receives a dividend of 12%. Find:
\n(i) the amount invested by him.
\n(ii) his total income from the shares.
\n(iii) percentage return on his money.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 20
\nMarket value of 1 share = \u20b9 20 + \u20b9 4 = \u20b9 24
\nNo. of shares purchased = 400
\nNominal value of 400 shares = 400 \u00d7 20 = \u20b9 8,000
\n(i) Market value of 400 shares = 400 \u00d7 24 = \u20b9 9,600
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-14.jpg\")
<\/p>\n
\nA man buys 400, twenty-rupee shares at a discount of 20% and receives a return of 12% on his money. Calculate:
\n(i) the amount invested by him.
\n(ii) the rate of dividend paid by the company.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 20
\nMarket value of 1 share = \u20b9 20 – 20% of \u20b9 20
\n= \u20b9 20 – \u20b9 4 = \u20b9 16
\nNo. of shares purchased = 400
\nNominal value of 400 shares = 400 x 20 = \u20b9 8,000
\n(i) Market value of 400 shares = 400 x 16 = \u20b9 6,400
\n(ii) Return%= 12%
\nIncome = 12% of \u20b9 6,400
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-15.jpg\")
<\/p>\n
\nA company, with 10,000 shares of \u20b9 100 each, declares an annual dividend of 5%.
\n(i) What is the total amount of dividend paid by the company?
\n(ii) What should be the annual income of a man who has 72 shares in the company?
\n(iii) If he received only 4% of his investment, find the price he paid for each share.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 100
\nNominal value of 10,000 shares = 10,000 x \u20b9 100 = \u20b9 10,00,000
\n(i) Dividend% = 5%
\nDividend = 5% of \u20b9 10,00,000
\n= \\(\\frac { 5 }{ 100 }\\) \u00d7 10,00,000 = \u20b9 50,000
\n(ii) Nominal value of 72 shares= \u20b9 100 x 72 = \u20b9 7,200
\nDividend = 5% of \u20b9 7,200
\n= \\(\\frac { 5 }{ 100 }\\) \u00d7 7,200 = \u20b9 360
\n(iii) Let market value of 1 share = \u20b9 y
\nThen market value of 10,000 shares = \u20b9 (10,000y)
\nReturn% = 4%
\nthen 4% of \u20b9 10,000y = \u20b9 50,000
\n\u21d2 \\(\\frac { 4 }{ 100 }\\) \u00d7 10,000y = \u20b9 50,000
\n\u21d2 y = \u20b9 125<\/p>\n
\nA lady holds 1800, \u20b9 100 shares of a company that pays 15% dividend annually. Calculate her annual dividend. If she had bought these shares at 40% premium, what is the return she gets as percent on her investment. Give your answer to the nearest integer.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 100 + 40% of \u20b9 100
\n= \u20b9 100 + \u20b9 40 = \u20b9 140
\nNo. of shares purchased = 1800
\nNominal value of 1800 shares = 1800 \u00d7 100 = \u20b9 1,80,000
\nMarket value of 1800 shares= 1800 \u00d7 140 = \u20b9 2,52,000
\n(i)Dividend% = 15%
\nDividend = 15% of \u20b9 1,80,000
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-16.jpg\")
<\/p>\n
\nA man invests \u20b9 11,200 in a company paying 6 percent per annum when its \u20b9 100 shares can be bought for \u20b9 140. Find:
\n(i) his annual dividend
\n(ii) his percentage return on his investment.
\nSolution:<\/strong><\/span>
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 140
\nTotal investment = \u20b9 11,200
\nNo of shares purchased = \\(\\frac { 11,200 }{ 140 }\\) = 80 shares
\nThen nominal value of 80 shares= 80 \u00d7 100= \u20b9 8,000
\n(i) Dividend% = 6%
\nDividend = 6% of \u20b9 8,000
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-17.jpg\")
<\/p>\n
\nMr. Sharma has 60 shares of nominal value \u20b9 100 and decides to sell them when they are at a premium of 60%. He invests the proceeds in shares of nominal value \u20b9 50, quoted at 4% discount, and paying 18% dividend annually. Calculate :
\n(i) the sale proceeds
\n(ii) the number of shares he buys and
\n(iii) his annual dividend from the shares.
\nSolution:<\/strong><\/span>
\n1st case
\nNominal value of 1 share = \u20b9 100
\nNominal value of 60 shares = \u20b9 100 \u00d7 60= \u20b9 6,000
\nMarket value of 1 share = \u20b9 100 + 60% of \u20b9 100
\n= \u20b9 100+ \u20b9 60 = \u20b9 160
\nMarket value of 60 shares = \u20b9 160 \u00d7 60 = \u20b9 9,600 Ans.
\n(ii) Nominal value of 1 share = \u20b9 50
\nMarket value of 1 share= \u20b9 50 – 4% of \u20b9 50
\n= \u20b9 50 – \u20b9 2 = \u20b9 48
\nNo of shares purchased = \\(\\frac { 9,600 }{ 48 }\\) = 200 shares
\n(iii) Nominal value of 200 shares = \u20b9 50 \u00d7 200 = \u20b9 10,000
\nDividend% = 18%
\nDividend = 18% of \u20b9 10,000
\n= \\(\\frac { 18 }{ 100 }\\) \u00d7 10,000 = \u20b9 1800<\/p>\n
\nA company with 10,000 shares of nominal value \u20b9 100 declares an annual dividend of 8% to the share-holders.
\n(i) Calculate the total amount of dividend paid by the company.
\n(ii) Ramesh had bought 90 shares of the company at \u20b9 150 per share. Calculate the dividend he receives and the percentage of return on his investment.
\nSolution:<\/strong><\/span>
\n(i) Nominal value of 1 share = \u20b9 100
\nNominal value of 10,000 shares = \u20b9 100 \u00d7 10,000 = \u20b9 10,00,000
\nDividend% = 8%
\nDividend = 8% of \u20b9 10,00,000
\n= \\(\\frac { 8 }{ 100 }\\) \u00d7 10,00,000 = \u20b9 80,000
\n(ii) Market value of 90 shares = \u20b9 150 \u00d7 90 = \u20b9 13,500
\nNominal value of 90 shares = \u20b9 100 \u00d7 90 = \u20b9 9,000
\nDividend = 8% of \u20b9 9,000
\n= \\(\\frac { 8 }{ 100 }\\) \u00d7 9,000 = \u20b9 720
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-18.jpg\")
<\/p>\n
\nWhich is the better investment :
\n16% \u20b9 100 shares at 80 or 20% \u20b9 100 shares at 120?
\nSolution:<\/strong><\/span>
\n1st case
\n16% of \u20b9 100 shares at 80 means;
\nMarket value of 1 share = \u20b9 80
\nNominal value of 1 share = \u20b9 100
\nDividend = 16%
\nIncome on \u20b9 80= 16% of \u20b9 100 = \u20b9 16
\nIncome on \u20b9 1 = \\(\\frac { 16 }{ 80 }\\) = \u20b9 0.20
\n2nd case
\n20% of \u20b9 100 shares at 120 means;
\nMarket value of 1 share = \u20b9 120
\nNominal value of 1 share = \u20b9 100
\nDividend = 20%
\nIncome on \u20b9 120 = 20% of \u20b9 100= \u20b9 20
\nIncome on \u20b9 1 = \\(\\frac { 20 }{ 120 }\\) = \u20b9 0.17
\nThen 16% \u20b9 100 shares at 80 is better investment.<\/p>\n
\nA man has a choice to invest in hundred-rupee shares of two firms at \u20b9 120 or at \u20b9 132. The first firm pays a dividend of 5% per annum and the second firm pays a dividend of 6% per annum. Find:
\n(i) which company is giving a better return.
\n(ii) if a man invests \u20b9 26,400 with each firm, how much will be the difference between the annual returns from the two firms.
\nSolution:<\/strong><\/span>
\n(i) 1st firm
\nMarket value of 1 share = \u20b9 120
\nNominal value of 1 share = \u20b9 100
\nDividend = 5%
\nIncome on \u20b9 120 = 5% of \u20b9 100 = \u20b9 5
\nIncome on \u20b9 1 = \\(\\frac { 5 }{ 120 }\\) = \u20b9 0.041
\n2nd firm
\nMarket value of 1 share = \u20b9 132
\nNominal value of 1 share = \u20b9 100
\nDividend = 6%
\nIncome on \u20b9 132 = 6% of \u20b9 100 = \u20b9 6
\nIncome on \u20b9 1 = \\(\\frac { 6 }{ 132 }\\) = \u20b9 0.045
\nThen investment in second company is giving better return.
\n(ii) Income on investment of \u20b9 26,400 in fi\u20b9 t firm
\n= \\(\\frac { 5 }{ 120 }\\) \u00d7 26,400 = \u20b9 1,100
\nIncome on investment of \u20b9 26,400 in second firm
\n= \\(\\frac { 6 }{ 132 }\\) \u00d7 26,400 = \u20b9 1,200
\n\u2234 Difference between both returns = \u20b9 1,200 – \u20b9 1,100 = \u20b9 100<\/p>\n
\nA man bought 360, ten-rupee shares of a company, paying 12% per annum. He sold the shares when their price rose to \u20b9 21 per share and invested the proceeds in five-rupee shares paying 4.5 percent per annum at \u20b9 3.50 per share. Find the annual change in his income.
\nSolution:<\/strong><\/span>
\n1st case
\nNominal value of 1 share = \u20b9 10
\nNominal value of 360 shares = \u20b9 10 \u00d7 360 = \u20b9 3,600
\nMarket value of 1 share = \u20b9 21
\nMarket value of 360 shares = \u20b9 21 \u00d7 360 = \u20b9 7,560
\nDividend% = 12%
\nDividend = 12% of \u20b9 3,600
\n= \\(\\frac { 12 }{ 100 }\\) \u00d7 3,600 = \u20b9 432
\n2nd case
\nNominal value of 1 share= \u20b9 5
\nMarket value of 1 share= \u20b9 3.50
\n\u2234 No of shares purchased = \\(\\frac { 7,560 }{ 3.50 }\\) = 2,160 shares
\nNominal value of 2160 shares=\u20b9 5 \u00d7 2160= \u20b9 10,800
\nDividend%= 4.5%
\nDividend= 4.5% of \u20b9 10,800
\n= \\(\\frac { 4.5 }{ 132 }\\) \u00d7 10,800 = \u20b9 486
\nAnnual change in income = \u20b9 486 – \u20b9 432
\n= \u20b9 54 increase<\/p>\n
\nA man sold 400 (\u20b9 20) shares of a company, paying 5% at \u20b9 18 and invested the proceeds in (\u20b9 10) shares of another company paying 7% at \u20b9 12. How many (\u20b9 10) shares did he buy and what was the change in his income?
\nSolution:<\/strong><\/span>
\n1st case
\nNominal value of 1 share = \u20b9 20
\nNominal value of 400 shares = \u20b9 20 x 400= \u20b9 8,000
\nMarket value of 1 share = \u20b9 18
\nMarket value of 400 shares = \u20b9 18 x 400= \u20b9 7,200
\nDividend% = 5%
\nDividend = 5% of \u20b9 8,000
\n= \\(\\frac { 5 }{ 100 }\\) \u00d7 8,000 = \u20b9 400
\n2nd case
\nNominal value of 1 share = \u20b9 10
\nMarket value of 1 share = \u20b9 12
\n\u2234 No of shares purchased = \\(\\frac { 7,200 }{ 12 }\\) = 600 shares
\nNominal value of 600 shares = \u20b9 10 x 600 = \u20b9 6,000
\nDividend% = 7%
\nDividend = 7% of \u20b9 6,000
\n= \\(\\frac { 7 }{ 100 }\\) \u00d7 6,000 = \u20b9 420
\nAnnual change in income = \u20b9 420 – \u20b9 400
\n= \u20b9 20 increase<\/p>\n
\nTwo brothers A and B invest \u20b9 16,000 each in buying shares of two companies. A buys 3% hundred-rupee shares at 80 and B buys ten-rupee shares at par. If they both receive equal dividend at the end of the year, find the rate per cent of the dividend received by B.
\nSolution:<\/strong><\/span>
\nFor A
\nTotal investment = \u20b9 16,000
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 80
\n\u2234 No of shares purchased = \\(\\frac { 16,000 }{ 80 }\\) = 200 shares
\nNominal value of 200 shares = \u20b9 100 \u00d7 200 = \u20b9 20,000
\nDividend% = 3%
\nDividend = 3% of \u20b9 20,000
\n= \\(\\frac { 3 }{ 100 }\\) \u00d7 20,000 = \u20b9 600
\nFor B
\nTotal investment= \u20b9 16,000
\nNominal value of 1 share= \u20b9 10
\nMarket value of 1 share= \u20b9 10
\n\u2234 No of shares purchased = \\(\\frac { 16,000 }{ 10 }\\) = 1600 shares
\nNominal value of 1600shares= 10 \u00d7 1600= \u20b9 16,000
\nDividend received by B = Dividend received by A = \u20b9 600
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-19.jpg\")
<\/p>\n
\nA man invests \u20b9 20,020 in buying shares of nominal value \u20b9 26 at 10% premium. The dividend on the shares is 15% per annum. Calculate :
\n(i) the number of shares he buys.
\n(ii) the dividend he receives annually.
\n(iii) the rate of interest he gets on his money.
\nSolution:<\/strong><\/span>
\nTotal investment = \u20b9 20,020
\nNominal value of 1 share = \u20b9 26
\nMarket value of 1 share = \u20b9 26+ 10% of \u20b9 26
\n= \u20b9 26+ \u20b9 2.60 = \u20b9 28.60
\n\u2234 No of shares purchased = \\(\\frac { 20,020 }{ 28.60 }\\) = 700 shares
\nNominal value of 700 shares= \u20b9 26 x 700 = \u20b9 18,200
\nDividend% = 15%
\nDividend = 15% of \u20b9 18,200
\n= \\(\\frac { 15 }{ 100 }\\) \u00d7 18,200 = \u20b9 2,730
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-20.jpg\")
<\/p>\nShares and Dividends Exercise 3C – Selina Concise Mathematics Class 10 ICSE Solutions<\/h3>\n
\nBy investing \u20b9 45,000 in 10% \u20b9 100 shares, Sharad gets \u20b9 3,000 as dividend. Find the market value of each share.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-21.jpg\")
<\/p>\n
\nMrs. Kulkarni invests \u20b9 1, 31,040 in buying \u20b9 100 shares at a discount of 9%. She sells shares worth Rs.72,000 at a premium of 10% and the rest at a discount of 5%. Find her total gain or loss on the whole.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-22.jpg\")
<\/p>\n
\nA man invests a certain sum on buying 15% \u20b9 100 shares at 20% premium. Find :
\n(i) His income from one share
\n(ii) The number of shares bought to have an income, from the dividend, \u20b9 6480
\n(iii) Sum invested
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-23.jpg\")
<\/p>\n
\nGagan invested \u20b9 80% of his savings in 10% \u20b9 100 shares at 20% premium and the rest of his savings in 20% \u20b9 50 shares at \u20b9 20% discount. If his incomes from these shares is \u20b9 5,600 calculate:
\n(i) His investment in shares on the whole
\n(ii) The number of shares of first kind that he bought
\n(iii) Percentage return, on the shares bought on the whole.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-24.jpg\")
<\/p>\n
\nAshwarya bought 496, \u20b9 100 shares at \u20b9 132 each, find :
\n(i) Investment made by her
\n(ii) Income of Ashwarya from these shares, if the rate of dividend is 7.5%.
\n(iii) How much extra must ashwarya invest in order to increase her income by \u20b9 7,200.
\nSolution:
\n<\/strong><\/span>![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2018\/05\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-q5.png\")
<\/p>\n
\n(i) The net annual income of Gopal who owns 7,200 shares of this company
\n(ii) The sum invested by Ramesh when the shares of this company are bought by him at 20% premium and the gain required by him(after deduction of income tax) is \u20b9 9,000
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-25.jpg\")
<\/p>\n
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-26.jpg\")
<\/p>\n
\nGopal has some \u20b9 100 shares of company A, paying 10% dividend. He sells a certain number of these shares at a discount of 20% and invests the proceeds in \u20b9 100 shares at \u20b9 60 of company B paying 20% dividend. If his income, from the shares sold, increases by \u20b9 18,000, find the number of shares sold by Gopal.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-27.jpg\")
<\/p>\n
\nA man invests a certain sum of money in 6% hundred-rupee shares at \u20b9 12 premium. When the shares fell to \u20b9 96, he sold out all the shares bought and invested the proceed in 10%, ten-rupee shares at \u20b9 8. If the change in his income is \u20b9 540, Find the sum invested originally
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-28.jpg\")
<\/p>\n
\nMr. Gupta has a choice to invest in ten-rupee shares of two firms at \u20b9 13 or at \u20b9 16. If the first firm pays 5% dividend and the second firm pays 6% dividend per annum, find:
\n(i) which firm is paying better.
\n(ii) if Mr. Gupta invests equally in both the firms and the difference between the returns from them is \u20b9 30, find how much, in all, does he invest.
\nSolution:<\/strong><\/span>
\n(i) 1st firm
\nNominal value of 1 share = \u20b9 10
\nMarket value of 1 share = \u20b9 13
\nDividend% = 5%
\nDividend = 5% of \u20b9 10 = \u20b9 0.50
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-29.jpg\")
\n2nd firm
\nNominal value of 1 share = \u20b9 10
\nMarket value of 1 share = \u20b9 16
\nDividend% = 6%
\nDividend = 6% of \u20b9 10 = \u20b9 0.60
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-30.jpg\")
\nThen first firm is paying better than second firm.
\n(ii) Let money invested in each firm = \u20b9 y
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-31.jpg\")
\nTotal money invested in both firms = \u20b9 31,200 \u00d7 2
\n= \u20b9 62,400<\/p>\n
\nAshok invested Rs. 26,400 in 12%, Rs. 25 shares of a company. If he receives a dividend of Rs. 2,475, find the :
\n(i) number of shares he bought.
\n(ii) market value of each share.
\nSolution:
\n<\/strong><\/span>![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2018\/05\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-q9.png\")
<\/p>\n
\nA man invested \u20b9 45,000 in 15% Rs100shares quoted at \u20b9 125. When the market value of these shares rose to \u20b9 140, he sold some shares, just enough to raise \u20b9 8,400. Calculate:
\n(i) the number of shares he still holds;
\n(ii) the dividend due to him on these remaining shares.
\nSolution:<\/strong><\/span>
\n(i) Total investment = \u20b9 45,000
\nMarket value of 1 share = \u20b9 125
\n\u2234 No of shares purchased = \\(\\frac { 45,000 }{ 125 }\\) = 360 shares
\nNominal value of 360 shares = \u20b9 100 \u00d7 360= \u20b9 36,000
\nLet no. of shares sold = n
\nThen sale price of 1 share = \u20b9 140
\nTotal sale price of n shares = \u20b9 8,400
\nThen n = \\(\\frac { 8,400 }{ 140 }\\) = 60 shares
\nThe no. of shares he still holds = 360 – 60 = 300
\n(ii) Nominal value of 300 shares = \u20b9 100 \u00d7 300 = \u20b9 30,000
\nDividend% = 15%
\nDividend = 15% of \u20b9 30,000
\n= \\(\\frac { 15 }{ 100 }\\) \u00d7 30,000 = \u20b9 4,500<\/p>\n
\nMr.Tiwari. invested \u20b9 29,040 in 15% Rs100 shares quoted at a premium of 20%. Calculate:
\n(i) the number of shares bought by Mr. Tiwari.
\n(ii) Mr. Tiwari’s income from the investment.
\n(iii) the percentage return on his investment.
\nSolution:<\/strong><\/span>
\nTotal investment = \u20b9 29,040
\nNominal value of 1 share = \u20b9 100
\nMarket value of 1 share = \u20b9 100+ 20% of \u20b9 100
\n= \u20b9 100 + \u20b9 20 = \u20b9 120
\n\u2234 No of shares purchased = \\(\\frac { 29,040 }{ 120 }\\) = 242 shares
\nNominal value of 242 shares = \u20b9 100 x 242 = \u20b9 24,200
\nDividend% = 15%
\nDividend = 15% of \u20b9 24,200
\n= \\(\\frac { 15 }{ 100 }\\) \u00d7 24,200 = \u20b9 3,630
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-32.jpg\")
<\/p>\n
\nA dividend of 12% was declared on \u20b9 150 shares selling at a certain price. If the rate of return is 10%, calculate:
\n(i) the market value of the shares.
\n(ii) the amount to be invested to obtain an annual dividend of \u20b9 1,350.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-33.jpg\")
<\/p>\n
\nDivide \u20b9 50,760 into two parts such that if one part is invested in 8% \u20b9 100 shares at 8% discount and the other in 9% \u20b9 100 shares at 8% premium, the annual incomes from both the investments are equal.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-34.jpg\")
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-35.jpg\")
<\/p>\n
\nMr. Shameem invested 33 1\/3% of his savings in 20% \u20b9 50 shares quoted at \u20b9 60 and the remainder of the savings in 10% \u20b9 100 share quoted at \u20b9 110. If his total income from these investments is \u20b9 9,200; find :
\n(i) his total savings
\n(ii) the number of \u20b9 50 share
\n(iii) the number of \u20b9 100 share.
\nSolution:<\/strong><\/span>
\n![\"Selina](\"https:\/\/cbselibrary.com\/wp-content\/uploads\/2020\/11\/Selina-Concise-Mathematics-Class-10-ICSE-Solutions-Shares-and-Dividends-36.jpg\")
<\/p>\n