Mr krish made an investment of Rs. 27,000 in 10%, Rs. 100 shares at Rs. 90 while Mr Ram made an investment of Rs. 30,000 in 8%, Rs. 150 shares at Rs. 120. If both of them sold their shares at the end of a year for Rs. 110 each, then their individual earnings are ______, respectively.

Options

A. Rs. 2000 and Rs. 1200
B. Rs. 1800 and Rs. 1000
C. Rs. 9000 and Rs. 500
D. Rs. 1800 and Rs. 1200

Answer

C

Explanation

Number of shares bought by Krish `= (27,000)/90=300`
`implies` Dividend earned on 300 shares
`=300xx10/100xx100=Rs. 3000`
Money received by selling these `30` shares `=300xx110= Rs. 33,000`
`implies` Earnings received by Krish `= 33,000+3000-27,000= Rs. 9000`
Number of shares bought by Vijay
`=("Total Investment")/("Market Value")=(30,000)/120=250`
`implies` Total dividend earned on `500` shares
`=250xx8/10xx150=Rs. 3000`
Money received by selling these `500` shares `=250xx110= Rs. 27,500`
`implies` Earnings received by Vijay `=27,500+3000-30,000= Rs. 500`.