Aptitude - Stocks and Shares - Discussion
Discussion Forum : Stocks and Shares - General Questions (Q.No. 1)
1.
In order to obtain an income of Rs. 650 from 10% stock at Rs. 96, one must make an investment of:
Answer: Option
Explanation:
To obtain Rs. 10, investment = Rs. 96.
| To obtain Rs. 650, investment = Rs. |  |
96 | x 650 |  |
= Rs. 6240. |
| 10 |
Discussion:
52 comments Page 3 of 6.
Harshit said:
9 years ago
Very clear explanation, thanks @Namit.
Charishma said:
9 years ago
Nice explanation. Thank you all.
Deepika nithya kavitha said:
9 years ago
Thank you all for explaining the solution.
Nawal kumar said:
9 years ago
What is stock value?
Saurav Chakravarty said:
9 years ago
I guess the answer should be Rs 6500. Because if 10% is the profit per share then 10% of 6500/- makes 650/-. But 10% of 6240 makes 624/- which is not the desired profit 650.
Khurshed said:
9 years ago
@Namit Jain.
Thanks for your explanation. I think it is a good explanation.
Thanks for your explanation. I think it is a good explanation.
Bivhu said:
8 years ago
Current Market Value = Rs. 96.
Required Income = Rs. 650.
Face Value is not given. We always assume face value as Rs. 100 when it's not mentioned in the question. and the dividend is always given on face value!. So you earn Rs. 10 (i.e 10% of Face Value which is 100) even if you purchase the shares at Rs. 96 (which is the current market value).
So if you earn Rs. 10 on each share, you need 65 shares to earn Rs 650. at current market price Rs. 96, you need to invest 96*65 which are Rs. 6240.
Required Income = Rs. 650.
Face Value is not given. We always assume face value as Rs. 100 when it's not mentioned in the question. and the dividend is always given on face value!. So you earn Rs. 10 (i.e 10% of Face Value which is 100) even if you purchase the shares at Rs. 96 (which is the current market value).
So if you earn Rs. 10 on each share, you need 65 shares to earn Rs 650. at current market price Rs. 96, you need to invest 96*65 which are Rs. 6240.
Faiz Shaikh said:
1 decade ago
Market value is Rs.96.
Dividend is 10%.
If we go through the formula.
Rate of interest p.a. = 10*100/96 would give us 10.42%.
So if we invest Rs.6240 we would get income of Rs.650.
Dividend is 10%.
If we go through the formula.
Rate of interest p.a. = 10*100/96 would give us 10.42%.
So if we invest Rs.6240 we would get income of Rs.650.
Shashikanth said:
1 decade ago
Why Rs. 10 had taken?
Shinchan said:
1 decade ago
From where Rs. 10 came?
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