#### At what price should a 6.25% Rs. 50 share be quoted when the money is worth 10%?

**Solution:**

Interest on Rs. 100

worth = Rs. 10

If the interest is Rs. 10, then market value = Rs. 100

and if interest is Rs. 6.25, then market

**A company with 10000 shares of Rs. 100 each, declares an annual dividend of 5%.**

**(i) What is the total amount of dividend paid by the company?**

**(ii) What would be the annual income of a man, who has 72 shares, in the company?**

**(iii) If he received only 4% on his investment, find the price he paid for each share. (1998)**

**Solution:**

No. of shares = 10000

Face value of each share = Rs. 100

Rate of dividend = 5%

(i) Total face value of 10000 shares

= Rs. 100 × 10000

= Rs. 1000000