Aptitude - Stocks and Shares - Discussion

Answer should be like this : -

Market Value of stock is to be found out, therefore, following are given: -

Face Value = Rs. 9000.

Dividend = 10.5%.

Annual Income = Rs. 756.

Brokerage per Rs. 100 = Rs. 0.25.

Dividend is always paid on the face value of a share.

By Formula,

Face Value * Dividend / (Market Value + Brokerage per Rs. 100) = Annual income.

=> 9000 * 10.5 / 756 = Market Value of Rs. 100 stock + Brokerage per Rs. 100.

=> Market Value of Rs. 100 stock + Brokerage per Rs. 100 = Rs. 125.

=> Market Value of Rs. 100 stock = Rs. 125 - Re. 0.25.

=> Market Value of Rs. 100 stock = Rs. 124.75.

Thanks.

{dividend(%) of face value / market value } * investment = earnings(income).
{10.5 % of 100 / x } * 9000 = 756.
{ 10.5 / x } * 9000 = 756.
x= 125.

Subtracting brokerage 1/4 % which is 0.25.
income = 125-0.25 .
Then 124.75.

In all other questions % stock is the profit per share i.e. 5% stock at 25 means 5 Rs. Profit on one share of Rs. 25.

So here 10.5 % should be the profit per share not the % profit per share.

For @Habte.
Simplifying @Prajyots answer.

Let 9000.......756
???........10.5

That gives 125.
Now subtracting brokerage 0.25(1/4) we get 124.75.

Let x be MV and fv be 100(say).

9000------>756.

100------->10.5*(100/(x+.25)).

Just solve them. You'll get x = 124.75.

I don't know the formulas to be applied here. Kindly explain by mentioning the Formulas.

10.5stock can be written as;

=105/10,
=21/2(we are just converting point to fraction).

I can not understand this question please explain it clearlly.

Why Re 0.25 is subtracted from 125? Explain me.

Not able to understand, is there any shorcuts?