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Mathematics

If a man received ₹1080 as dividend from 9% ₹20 shares, find the number of shares purchased by him.

Shares & Dividends

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Answer

Let the number of shares purchased by the man be x

Nominal Value per share = ₹20

Rate of Dividend = 9%

Annual Dividend = ₹1080

Annual Dividend = No. of shares x Rate of Dividend x Nominal Value per share

According to the given,

1080=x×9100×201080=9x5x=1080×59x=6001080 = x \times \dfrac{9}{100} \times 20 \\[0.5em] 1080 = \dfrac{9x}{5} \\[0.5em] x = \dfrac{1080 \times 5}{9} \\[0.5em] x = 600

∴ Number of shares purchased by the man = 600

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