Selina Textbook Solutions: Shares and Dividend | Mathematics Class 10 ICSE PDF Download

 Page 1


Shares and Dividends 
 
 
Question 1. 
How much money will be required to buy 400, ? 12.50 shares at a premium of ? 1? 
 
Solution: 
 
 
Question 2. 
How much money will be required to buy 250, ? 15 shares at a discount of ? 1.50? 
 
Solution: 
 
 
Question 3. 
A person buys 120 shares at a nominal value of ? 40 each, which he sells at ? 42.50 
each. Find his profit and profit percent. 
 
Solution: 
Nominal value of 120 shares = ? 40 × 120= ? 4,800 
Market value of 120 shares = ? 42.50 × 120= ? 5,100 
His profit = ? 5,100 – ? 4,800 = ? 300 
 
profit =  × 100% = 6.25% 
Page 2


Shares and Dividends 
 
 
Question 1. 
How much money will be required to buy 400, ? 12.50 shares at a premium of ? 1? 
 
Solution: 
 
 
Question 2. 
How much money will be required to buy 250, ? 15 shares at a discount of ? 1.50? 
 
Solution: 
 
 
Question 3. 
A person buys 120 shares at a nominal value of ? 40 each, which he sells at ? 42.50 
each. Find his profit and profit percent. 
 
Solution: 
Nominal value of 120 shares = ? 40 × 120= ? 4,800 
Market value of 120 shares = ? 42.50 × 120= ? 5,100 
His profit = ? 5,100 – ? 4,800 = ? 300 
 
profit =  × 100% = 6.25% 
Question 4. 
Find the cost of 85 shares of ? 60 each when quoted at ? 63.25. 
 
Solution: 
Market value of 1 share = ? 63.25 
Market value of 85 shares = ? 63.25 × 85 = ? 5,376.25 
Question 5. 
A man invests ? 800 in buying ? 5 shares and when they are selling at a premium of ? 
1.15, he sells all the shares. Find his profit and profit percent. 
 
Solution: 
Nominal value of 1 share = ? 5 
Market value 1 share = ? 5 + ? 1.15 = ? 6.15 
Total money invested = ? 800 
 
No of shares purchased =  = 160 
Market value of 160 shares = 160 × 6.15= ? 984 
His profit = ? 984 – ? 800 = ? 184 
 
profit =  × 100% = 23% 
Question 6. 
Find the annual income derived from 125, ? 120 shares paying 5% dividend. 
 
Solution: 
Nominal value of 1 share = ? 60 
Nominal value 250 shares= ? 60 x 250= ? 15,000 
Dividend = 5% of ? 15,000 
=  × 15,000 = ? 750 
Question 7. 
A man invests ? 3,072 in a company paying 5% per annum, when its ? 10 share can be 
bought for ? 16 each. Find : 
(i) his annual income 
(ii) his percentage income on his investment. 
 
Solution: 
Market value of 1 share = ? 16 
Nominal value of 1share = ? 10 
Page 3


Shares and Dividends 
 
 
Question 1. 
How much money will be required to buy 400, ? 12.50 shares at a premium of ? 1? 
 
Solution: 
 
 
Question 2. 
How much money will be required to buy 250, ? 15 shares at a discount of ? 1.50? 
 
Solution: 
 
 
Question 3. 
A person buys 120 shares at a nominal value of ? 40 each, which he sells at ? 42.50 
each. Find his profit and profit percent. 
 
Solution: 
Nominal value of 120 shares = ? 40 × 120= ? 4,800 
Market value of 120 shares = ? 42.50 × 120= ? 5,100 
His profit = ? 5,100 – ? 4,800 = ? 300 
 
profit =  × 100% = 6.25% 
Question 4. 
Find the cost of 85 shares of ? 60 each when quoted at ? 63.25. 
 
Solution: 
Market value of 1 share = ? 63.25 
Market value of 85 shares = ? 63.25 × 85 = ? 5,376.25 
Question 5. 
A man invests ? 800 in buying ? 5 shares and when they are selling at a premium of ? 
1.15, he sells all the shares. Find his profit and profit percent. 
 
Solution: 
Nominal value of 1 share = ? 5 
Market value 1 share = ? 5 + ? 1.15 = ? 6.15 
Total money invested = ? 800 
 
No of shares purchased =  = 160 
Market value of 160 shares = 160 × 6.15= ? 984 
His profit = ? 984 – ? 800 = ? 184 
 
profit =  × 100% = 23% 
Question 6. 
Find the annual income derived from 125, ? 120 shares paying 5% dividend. 
 
Solution: 
Nominal value of 1 share = ? 60 
Nominal value 250 shares= ? 60 x 250= ? 15,000 
Dividend = 5% of ? 15,000 
=  × 15,000 = ? 750 
Question 7. 
A man invests ? 3,072 in a company paying 5% per annum, when its ? 10 share can be 
bought for ? 16 each. Find : 
(i) his annual income 
(ii) his percentage income on his investment. 
 
Solution: 
Market value of 1 share = ? 16 
Nominal value of 1share = ? 10 
Money invested = ? 3,072 
 
Question 8. 
A man invests ? 7,770 in a company paying 5% dividend when a share of nominal value 
of ? 100 sells at a premium of ? 5. Find: 
(i) the number of shares bought; 
(ii) annual income; 
(iii) percentage income. 
 
Solution: 
Total money invested = ? 7,770 
Nominal value of 1 share = ? 100 
Market value of 1 share = ? 100 + ? 5 = ? 105 
 
 
 
Page 4


Shares and Dividends 
 
 
Question 1. 
How much money will be required to buy 400, ? 12.50 shares at a premium of ? 1? 
 
Solution: 
 
 
Question 2. 
How much money will be required to buy 250, ? 15 shares at a discount of ? 1.50? 
 
Solution: 
 
 
Question 3. 
A person buys 120 shares at a nominal value of ? 40 each, which he sells at ? 42.50 
each. Find his profit and profit percent. 
 
Solution: 
Nominal value of 120 shares = ? 40 × 120= ? 4,800 
Market value of 120 shares = ? 42.50 × 120= ? 5,100 
His profit = ? 5,100 – ? 4,800 = ? 300 
 
profit =  × 100% = 6.25% 
Question 4. 
Find the cost of 85 shares of ? 60 each when quoted at ? 63.25. 
 
Solution: 
Market value of 1 share = ? 63.25 
Market value of 85 shares = ? 63.25 × 85 = ? 5,376.25 
Question 5. 
A man invests ? 800 in buying ? 5 shares and when they are selling at a premium of ? 
1.15, he sells all the shares. Find his profit and profit percent. 
 
Solution: 
Nominal value of 1 share = ? 5 
Market value 1 share = ? 5 + ? 1.15 = ? 6.15 
Total money invested = ? 800 
 
No of shares purchased =  = 160 
Market value of 160 shares = 160 × 6.15= ? 984 
His profit = ? 984 – ? 800 = ? 184 
 
profit =  × 100% = 23% 
Question 6. 
Find the annual income derived from 125, ? 120 shares paying 5% dividend. 
 
Solution: 
Nominal value of 1 share = ? 60 
Nominal value 250 shares= ? 60 x 250= ? 15,000 
Dividend = 5% of ? 15,000 
=  × 15,000 = ? 750 
Question 7. 
A man invests ? 3,072 in a company paying 5% per annum, when its ? 10 share can be 
bought for ? 16 each. Find : 
(i) his annual income 
(ii) his percentage income on his investment. 
 
Solution: 
Market value of 1 share = ? 16 
Nominal value of 1share = ? 10 
Money invested = ? 3,072 
 
Question 8. 
A man invests ? 7,770 in a company paying 5% dividend when a share of nominal value 
of ? 100 sells at a premium of ? 5. Find: 
(i) the number of shares bought; 
(ii) annual income; 
(iii) percentage income. 
 
Solution: 
Total money invested = ? 7,770 
Nominal value of 1 share = ? 100 
Market value of 1 share = ? 100 + ? 5 = ? 105 
 
 
 
Question 9. 
A man buys ? 50 shares of a company, paying 12% dividend, at a premium of ? 10. Find: 
(i) the market value of 320 shares; 
(ii) his annual income; 
(iii) his profit percent. 
 
Solution: 
Nominal value of 1 share = ? 50 
Market value of 1 share = ? 50 + ? 10 = ? 60 
Market value of 320 shares = 320 x 60 = ? 19,200 
Nominal value of 320 shares = 320 x 5 = ? 16,000 
 
 
Question 10. 
A man buys ? 75 shares at a discount of ? 15 of a company paying 20% dividend. Find: 
(i) the market value of 120 shares; 
(ii) his annual income; 
(iii) his profit percent. 
 
Solution: 
Nominal value of 1 share = ? 75 
Market value of 1 share = ? 75 – ? 15 = ? 60 
Market value of 120 shares = 120 × 60 = ? 7,200 
Nominal value of 120 shares = 120 × 75 = ? 9,000 
 
 
Page 5


Shares and Dividends 
 
 
Question 1. 
How much money will be required to buy 400, ? 12.50 shares at a premium of ? 1? 
 
Solution: 
 
 
Question 2. 
How much money will be required to buy 250, ? 15 shares at a discount of ? 1.50? 
 
Solution: 
 
 
Question 3. 
A person buys 120 shares at a nominal value of ? 40 each, which he sells at ? 42.50 
each. Find his profit and profit percent. 
 
Solution: 
Nominal value of 120 shares = ? 40 × 120= ? 4,800 
Market value of 120 shares = ? 42.50 × 120= ? 5,100 
His profit = ? 5,100 – ? 4,800 = ? 300 
 
profit =  × 100% = 6.25% 
Question 4. 
Find the cost of 85 shares of ? 60 each when quoted at ? 63.25. 
 
Solution: 
Market value of 1 share = ? 63.25 
Market value of 85 shares = ? 63.25 × 85 = ? 5,376.25 
Question 5. 
A man invests ? 800 in buying ? 5 shares and when they are selling at a premium of ? 
1.15, he sells all the shares. Find his profit and profit percent. 
 
Solution: 
Nominal value of 1 share = ? 5 
Market value 1 share = ? 5 + ? 1.15 = ? 6.15 
Total money invested = ? 800 
 
No of shares purchased =  = 160 
Market value of 160 shares = 160 × 6.15= ? 984 
His profit = ? 984 – ? 800 = ? 184 
 
profit =  × 100% = 23% 
Question 6. 
Find the annual income derived from 125, ? 120 shares paying 5% dividend. 
 
Solution: 
Nominal value of 1 share = ? 60 
Nominal value 250 shares= ? 60 x 250= ? 15,000 
Dividend = 5% of ? 15,000 
=  × 15,000 = ? 750 
Question 7. 
A man invests ? 3,072 in a company paying 5% per annum, when its ? 10 share can be 
bought for ? 16 each. Find : 
(i) his annual income 
(ii) his percentage income on his investment. 
 
Solution: 
Market value of 1 share = ? 16 
Nominal value of 1share = ? 10 
Money invested = ? 3,072 
 
Question 8. 
A man invests ? 7,770 in a company paying 5% dividend when a share of nominal value 
of ? 100 sells at a premium of ? 5. Find: 
(i) the number of shares bought; 
(ii) annual income; 
(iii) percentage income. 
 
Solution: 
Total money invested = ? 7,770 
Nominal value of 1 share = ? 100 
Market value of 1 share = ? 100 + ? 5 = ? 105 
 
 
 
Question 9. 
A man buys ? 50 shares of a company, paying 12% dividend, at a premium of ? 10. Find: 
(i) the market value of 320 shares; 
(ii) his annual income; 
(iii) his profit percent. 
 
Solution: 
Nominal value of 1 share = ? 50 
Market value of 1 share = ? 50 + ? 10 = ? 60 
Market value of 320 shares = 320 x 60 = ? 19,200 
Nominal value of 320 shares = 320 x 5 = ? 16,000 
 
 
Question 10. 
A man buys ? 75 shares at a discount of ? 15 of a company paying 20% dividend. Find: 
(i) the market value of 120 shares; 
(ii) his annual income; 
(iii) his profit percent. 
 
Solution: 
Nominal value of 1 share = ? 75 
Market value of 1 share = ? 75 – ? 15 = ? 60 
Market value of 120 shares = 120 × 60 = ? 7,200 
Nominal value of 120 shares = 120 × 75 = ? 9,000 
 
 
Question 11. 
A man has 300, ? 50 shares of a company paying 20% dividend. Find his net income 
after paying 3% income tax. 
 
Solution: 
Nominal value of 1 share = ? 50 
Nominal value of 300 shares = 300 × 50 = ? 15,000 
 
 
 
His net income = ? 3,000 – ? 90 = ? 2,910 
Question 12. 
A company pays a dividend of 15% on its ten-rupee shares from which it deducts 
income tax at the rate of 22%. Find the annual income of a man who owns one 
thousand shares of this company. 
 
Solution: 
Nominal value of 1 share = ? 10 
Nominal value of 1000 shares = 1000 × 10 = ? 10,000 
 
 
 
His net income = ? 1,500 – ? 330 = ? 1,170 
Question 13. 
A man invests ? 8,800 in buying shares of a company of face value of rupees hundred 
each at a premium of 10%. If he earns ? 1,200 at the end of the year as dividend, find: 
(i) the number of shares he has in the company. 
(ii) the dividend percent per share.