17 A company with 4000 shares of nominal value of 110 declares annual

1.	17 A company with 4000 shares of nominal value of 110 declares annual dividendof 15%. Calculate:(0 the total amount of dividend paid by the company(ii) the annual income of Shah Rukh who holds 88 shares in the company(iii)if he received only 10% on his investment, find the price Shah Rukh paid for eachshare(2008)
Answer» Total dividend = r/100N.Vno. of shares = 15/1001104000 Rs.66,000 Annual Income = r/100 * N.V * No. of shares = 15/100 * 110 * 88 Rs.1,452 Return Percent = 10% Rate of dividend/100* N.V = Rate of Return/100 * M.V 15/100 * 110 = 10/100 * x x = Rs.165

17 A company with 4000 shares of nominal value of 110 declares annual dividendof 15%. Calculate:(0 the total amount of dividend paid by the company(ii) the annual income of Shah Rukh who holds 88 shares in the company(iii)if he received only 10% on his investment, find the price Shah Rukh paid for eachshare(2008)

Answer»

Total dividend = r/100*N.V*no. of shares

= 15/100*110*4000

Rs.66,000

Annual Income = r/100 * N.V * No. of shares

= 15/100 * 110 * 88

Rs.1,452

Return Percent = 10%

Rate of dividend/100* N.V = Rate of Return/100 * M.V

15/100 * 110 = 10/100 * x

x = Rs.165