Aptitude - Stocks and Shares - Discussion

Discussion :: Stocks and Shares - General Questions (Q.No.14)

14. 

The cost price of a Rs. 100 stock at 4 discount, when brokerage is 1 % is:
4

[A]. Rs. 95.75
[B]. Rs. 96
[C]. Rs. 96.25
[D]. Rs. 104.25

Answer: Option C

Explanation:

C.P. = Rs. 100 - 4 + 1 = Rs. 96.25
4


Hardik said: (Aug 23, 2012)  
Please Explain.

Shraddha said: (Feb 25, 2013)  
4% discount on 100 Rs = 4/100*100 = 4 Rs.

Discount = 100-4 = 96 Rs.

Broker amount =1/4% = 1/4/100*100 = 1/4 Rs.

Then total Rupees = 96+1/4 = 96.25.

Sindhu said: (Mar 10, 2014)  
Why you add the brokerage cost?

Chaitanya said: (Aug 1, 2014)  
This is the approach I followed.
Please point out where I went wrong.

Brokerage amount = 1/4%.
Brokerage is calculated for the amount we pay. Not for the face value.

So,
Brokerage amount = 1/4% of Rs.96 = 0.24.
i.e. cost price = 96+0.24 = 96.24.

Vinod said: (Dec 8, 2014)  
Why we should add brokerage value we deducted brokerage amount in the previous problem? Please any explain.

Rahul said: (Apr 9, 2015)  
When stock is purchased, brokerage is added to cost price. It's given in the important formulas.

Majedul said: (Apr 16, 2017)  
Why is brokerage added in 13 and deducted in 14?

Please explain it.

Kinjal said: (Nov 15, 2017)  
There is no mention of stock being purchased in the question, so why is the brokerage added to the cost price!

Vijay said: (Jun 21, 2018)  
@Kinjal.

Since it is Cost price, we consider it as being purchased.

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