Stocks and Shares Questions for SSC & UPSC Exams - 1

Ans: A

Total dividend declared = Rs. 125000

Amount kept in reserve fund = Rs. 50000

Net amount paid as dividend to the shareholders

= Rs. (125000 – 50000) = Rs. 75000

Number of shares of par value of Rs. 100 each = 50000

Total par value of 50000 shares = Rs. (50000 × 100) = Rs. 5000000

Rate of dividend paid by the company

                             = $$({75000} / {5000000} × 100)%$$ = $${3}/{2}$$% = $$1{1}/{2}$$%.

Ans: B

Income on each debenture = 15% of Rs. 100 = Rs. 15.

Number of debenture required = Rs. $$({1500}/{15})$$ = Rs. 100.

Cost of each debenture

                = Rs. (104 + 1% of 104) = (104 + 1.04) = Rs. 105.04.

∴ Total investment = Rs. (105.04 × 100) = Rs. 10504.

Ans: D

Number of shares = 125000

Par value of a share = Rs. 20.

∴ Total par value of 125000 shares

= Rs. (1250000 × 20) = Rs. 2500000

Total dividend = Rs. 375000

∴ Rate of dividend paid by the company

= $$({375000}/{2500000} × 100)%$$ = 15%.

Ans: B

Face value of the stock = Rs. 20000

Income on Rs. 100 stock = Rs. $$7{1}/{2}$$

Income on Rs. 1 stock = Rs. $$({15/2} /{100})$$ = Rs. $$({15}/{200})$$

Income on Rs. 20000 stock = Rs. $$({15}/{200} × 20000)$$ = Rs. 1500.

Ans: B

Par value of 200 shares = Rs. (200 × 10) = Rs. 2000

Dividend received by Mac = Rs. $$({8}/{100} × 2000)$$ = Rs. 160

Let, the market value of 200 shares be Rs. x.

We have to find x such that 10% of x = 160

⇒ $${10}/{100} × x$$ = 160

⇒ x = 160 × 10 = 1600

i.e. Market value of 200 shares = Rs. 1600.

Hence, the market value of one share = Rs. $$({1600}/{200})$$ = Rs. 8.