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Mathematics

A dividend of 10% was declared on ₹ 100 shares at a certain price. If the rate of return is 8%, the marked value of the shares is :

  1. ₹ 120

  2. ₹ 125

  3. ₹ 150

  4. ₹ 110

Shares & Dividends

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Answer

Let M.V. be ₹ x.

We know that,

Rate of dividend × N.V. = Profit (return) % × M.V.

10100×100=8100×x10×100=8xx=10×1008=₹ 125.\Rightarrow \dfrac{10}{100} \times 100 = \dfrac{8}{100} \times x \\[1em] \Rightarrow 10 \times 100 = 8x \\[1em] \Rightarrow x = \dfrac{10 \times 100}{8} = \text{₹ 125}.

Hence, Option 2 is the correct option.

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