Problems on Shares and Stocks

Q1. Find the cost of Rs. 10,000, 5% stock at 85
(a) Rs. 8350
(b) Rs. 8500
(c) Rs. 8700
(d) Rs. 8800

Q2. A man invests some money partly in 4% stock at 96 and partly in 6% stock at 120. To get equal dividends from both, he must invest the money in the ratio
(a) 2 : 3
(b) 5 : 3
(c) 6 : 5
(d) 7 : 9

Q3. A man invests in a 5½ % stock at 95. The interest obtained by him is
(a) 5.78 %
(b) 6.12 %
(c) 6.65 %
(d) 7.05 %

Q4. A man buys Rs. 50 shares in a company which pays 10% dividend. If the man gets 12.5% on his investment at what price did he buy the shares ?
(a) Rs. 22
(b) Rs. 28
(c) Rs. 33
(d) Rs. 40

Q5. A man bought 20 shares of Rs. 50 each at 5 discount, the rate of dividend being 12½ %. The rate of interest obtained is
(a) 12 ⁶/₇ %
(b) 13 ⁸/₉ %
(c) 15 ⁴/₅ %
(d) 16 ⁴/₅ %

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