Worksheet on Basic Concept on Shares and Dividends

The concept of Shares and Dividends are explained in the previous articles with example problems. In this article, we will provide the Worksheet on Basic Concept on Shares and Dividends with different types of questions. We request the students of 10 grade to go through the questions and find the solution for them. After attempting the solved examples of shares and dividends you can check the answer by clicking on the provided link. So, that you can know how much you have understood from the chapter shares and dividends.

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Shares and Dividends Maths Problems

Practice the problems given below to score better grades in the exams.

Example 1.
Find the market price of 6% of Rs 200 share when a person gets a dividend of Rs 65 by investing a Rs 1230.
Solution:
Given that
Amount of dividend = Rs 65
The rate of dividend = 6%
Therefore total face value = 65 × 200/6
= 2166.6
If the face value is Rs 200 then Market value = 1230 × 200/2166.6
= 113.5

Example 2.
Mano buys 20 shares of face value Rs 100 available at Rs 140.
(i) what is her investment?
(ii) If the dividend is 6%. What is the annual income?
(iii) If he wants to increase his annual income by Rs 130, how many extra shares should he buy?
Solution:
Given that
The face value = Rs 100
(i) Given that market value = Rs 140
And number of shares = 20
Therefore investment = number of shares × market value
= 20 × 140
= Rs 2800
(ii) We have income per share = 6% of face value
= (6/100) × 100
= Rs. 6
Therefore annual income = 6 × 20
= Rs 120
(iii) Therefore new annual income = 120 + 130 = Rs 250
Therefore number of shares = 250/6 = 41.6
Therefore, number of extra share to be increased = 41.6 – 20
= 21.6

Example 3.
How much money will be required to buy 400 shares of Rs 19.50 shares at a premium of Rs 1?
Solution:
Number of shares to be bought = 400
Rs 19.50 shares at a premium of Rs 1 means
The nominal value of the share is 19.50
Its marked value = 19.50 + 1 = 20.50
Money required by 1 share = Rs 20.50
Money required to buy 400 shares = 400 × 20.50 = 8200

Example 4.
How much money will be required to buy 600 Rs 40 shares at a discount of Rs 12.50
Solution:
Number of shares to be bought = 600
Rs 20 shares at a discount of Rs 12.50 means
The nominal value of the share is Rs 40 and
Market value = Rs 40 – Rs 12.50 = Rs 27.5
Money required to buy 600 = 600 × 27.50 = 16,500

Example 5.
A person buys 230 shares at a nominal value of Rs 10 each, which he sells at Rs 14.50 each. Find his profit and profit per cent.
Solution:
Nominal value of 230 shares = 10 × 230 = 2300
Market value of 230 shares = 14.50 × 230 = 3335
His profit = Rs 3335 – Rs 2300 = 1035
Profit = 1035/2300 × 100 = 45

Example 6.
A man invests Rs 700 in buying Rs 4 shares and when they are selling at a premium of Rs 2.15 he sells all the shares. Find his profit and profit percent
Solution:
Nominal value of 1 share = Rs 2
Market value of 1 share = Rs 2 + 10 = 12
Total money invested = Rs 600
Number of shares purchased = 600/12 = 50
Market value of 57.14 shares = 50 × 12 = 600
His profit = 600 – Rs 50 = 550
= 550/600 × 100 = 91.66

Example 7.
A man invests Rs 6600 in buying shares of a company of face value of rupees hundred each at a premium of 20% If he earns Rs 800 at the end of the year as the dividend.
(i) Find the number of shares in the company
(ii) The dividend percent per share
Solution:
Total investment = Rs 6600
Nominal value of 1 share = 100
Nominal value = face value
Marked value of 1 share = 20 % of 100 =
20/100 × 100 = 20
Number of shares per chased = 6600/20 = 330
Normal value of 330 shares = 330 × 100 = 33000
Let dividend percentage = Y %
Then Y % of Rs 33000 = Rs 800
= Y/100 × 33000 = 800
Y/100 = 800/33000
Y = 800/33000 × 100
Y = 2.42

Example 8.
A company declares a 6 percent dividend to the shareholders. If a receives Rs 1330 as his dividend, find the nominal value of his shares.
Solution:
Given that
Rate of dividend = 7%
Dividend = 1330
Let nominal value of his share = x
We know that
Dividend = Rate of dividend × nominal value
So, 1330 = 6/100 × x
x = 1330 × 100/7 = 19000
19000 × 100 = 1900000
Nominal value of his share = 1900000

Example 9.
A man invests a certain sum on buying 10% Rs 140 shares at a 5 % premium.
(i) Find his income from one share
(ii) The number of shares bought to have an income from the dividend Rs 5430
(iii) sum invested
Solution:
(i) Dividend on one share = 10% of Rs 140
= 10/100 × 140 = 14
So, the income from one share is = Rs 14
(ii) Number of shares bought by the man = annual income/dividend on one share
Annual income = 5430
= 5430/10 = 543
(iii) since the man bought shares of Rs 543 at 5 % Premium, the Market value of one share = Rs (1 + 5/100) × 543
Rs(105/100) × 543
= 570.15
His total investment = number of shares × Market value of one share
= 543 × 570.15
= 309591.45

Example 10.
Nikitha bought 300, Rs 50 shares at Rs 150 each.
(i) Investment made by her.
(ii) income of Nikitha from these shares, if the rate of dividend is 4.5 %
(iii) How much extra must Nikitha invest in order to increase her income by 5200
Solution:
(i) Nominal value of each share = Rs 50
Marked value of each share = 150
Investment made by her = 300 × 150 = 45000
(ii) Dividend on 1 share = 4.5% of Rs 50 = 4.5/100 × 50 = 2.25
So, the income of Nikitha from these shares = 300 × 4.5 = 1350
(iii) If she wants to increase her income by 5200
The number of shares she should buy = increase in the income/income of one share = 5200/4.5 = 1155.5
So, she should invest = 1155.5/4.5 = 256.7
So, she should invest = 256.7 × 4.5 = 1155.15

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