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If a Rs. 200 share is brought at a disco...

If a Rs. 200 share is brought at a discount of Rs. 50 and the dividend paid is 9%, then the rate of return is _______ per annum.

A

`18%`

B

`9%`

C

`10%`

D

`12%`

Text Solution

Verified by Experts

The correct Answer is:
D
Rate of dividend `xx FV=` Rate of return `xx MV`
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Knowledge Check

  • Shares worth Rs.300 each were bought at a discount of Rs.60. The dividend paid was 6% per annum. Find the rate return.

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  • Mr Anil bought Rs. 110 shares of a company at a discount of Rs. 10. If the company pays a dividend at the rate of x% per annum, and Mr Anil earns at the rate of y% per annum on his investment, then x : y is _______.

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