Shares and Dividends ML Aggarwal Solutions ICSE Maths Class-10

Shares and Dividends ML Aggarwal Solutions ICSE Maths Class-10 Chapter-3. We Provide Step by Step Answer of Chapter-3 Shares and Dividends , with MCQs and Chapter-Test Questions / Problems related Exercise-3 Shares and Dividends for ICSE Class-10 APC Understanding Mathematics . Visit official Website CISCE for detail information about ICSE Board Class-10.

Board	ICSE
Publications	Avichal Publishig Company (APC)
Subject	Maths
Class	10th
Chapter-3	Shares and Dividends
writer	ML Aggarwal
Book Name	Understanding
Topics	Solution of Exe-3, MCQ and Chapter Test Questions
Edition	2021-2022

Shares and Dividends ML Aggarwal Solutions ICSE Maths Class-10 Chapter-3

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Exe- 3 ,

MCQ ,

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How to Solve Shares and Dividends Problems/Questions / Exercise of ICSE Class-10 Mathematics

Before viewing Answer of Chapter-3 Shares and Dividends of ML Aggarwal Solution. Read the Chapter Carefully then solve all example of your text book. For more practice on Shares and Dividends related problems/Questions/Exercise try to solve Shares and Dividends exercise of other famous publications also such as Goyal Brothers Prakshan (RS Aggarwal ICSE) / Concise Selina Publications Mathematics. Get the formula of GST for ICSE Class 10 Maths to understand the topic more clearly in effective way.

Exercise -3 Shares and Dividends ML Aggarwal for ICSE Class-10 Maths

Question -1

Find the dividend received on 60 shares of Rs, 20 each if 9% dividend is declared.

Answer- 1

Value of one share = Rs. 20
Value of 60 shares = Rs. 20 x 60
= Rs. 1200

Question- 2

A company declares 8 percent dividend to the share holders. If a man receives Rs. 2840 as his dividend, find the nominal value of his shares.

Answer- 2

Rate of dividend = 8%
Amount of dividend = Rs. 2840

Question -3

A man buys 200 ten-rupee shares at Rs 12.50 each and receives a dividend of 8%. Find the amount invested by him and the dividend received by him in cash.

Answer -3

Face value of 200 shares = Rs. 10 x 200
= Rs. 2000
(i) Amount invested for the purchase of 200 shares at the rate of Rs. 12.50 each
= Rs. 12.50 x 200
= Rs. 2500

Question- 4

Find the market price of 5% share when a person gets a dividend of Rs 65 by investing Rs. 1430.

Answer- 4

Amount of dividend = Rs. 65
Rate of dividend = 5%

Question- 5.

Salman buys 50 shares of face value Rs 100 available at Rs 132.
(i) What is his investment ?
(ii) If the dividend is 7.5% p.a., what will be his annual income ?
(iii) If he wants to increase his annual income by Rs 150, how many extra shares should he
Answer-5
Face Value = Rs 100
(i) Market Value = Rs 132
No. of shares = 50
Investment = no. of shares x Market value
= 50 x 132 = Rs 6600

Question- 6

A lady holds 1800, Rs. 100 shares of a company that pays 15% dividend annually. Calculate her annual dividend. If she had bought these shares at 40% premium, what percentage return does she get on her investment ? Give your answer to the nearest integer.

Answer -6

Total number of shares = 1800
Nominal value of each share = Rs. 100
Rate of dividend = 15%

Question -7

What sum should a person invest in Rs 25 shares, selling at Rs 36, to obtain an income of Rs 720, if the dividend declared is 12%? Also find the percentage return on his income.
(i) The number of shares bought by him.
(ii) The percentage return on his income.

Answer -7

Nominal value of each share = Rs. 25
Market value of each share = Rs. 36

Question -8

Ashok invests Rs 26400 on 12% Rs 25 shares of a company. If he receives a dividend of Rs 2475, find:
(i) the number of shares he bought.
(ii) the market value of each share. (2016)

Answer -8

Investment = Rs 26400
Face value of each share = Rs 25
Rate of dividend = 12%
and total dividend = Rs 2475
We know,

Question-9

A man invest Rs 4500 in a share of a company which is paying 7.5% dividend if RS 100 shares are available at a discount of 10 % find

(i) The number of shares he purchase

(ii) His annual income

Answer-9

Rs. 100 shares at a discount of 10%
will cost = 100 – 10
= Rs. 90

(i) ∴ Number of shares = 4500/90 = 50 shares

(ii) His annual income at 7.5% dividend

Annual income=Number Of Share ×Dividend Percent × FV / 100

=50×7.5×100/ 100

= 50 × 7.5

Annual income = Rs 375.0

Question -10

Amit Kumar invests Rs 36,000 in buying Rs 100 shares at Rs 20 premium. The dividend is 15% per annum. Find :
(i) The number of shares he buys
(ii) His yearly dividend
(iii) The percentage return on his investment.
Give your answer correct to the nearest whole number.

Answer -10

Investment = Rs 36000
Face value = Rs 100
Premium = Rs 20, dividend = 15%

Question -11

Mr. Tiwari invested Rs 29,040 in 15% Rs 100 shares at a premium of 20%. Calculate:
(i) The number of shares bought by Mr. Tiwari.
(ii) Mr. Tiwari’s income from the investment.
(iii) The percentage return on his investment.

Answer -11

(i) M.V. of one share = $\left[ \frac { 20 }{ 100 } \times 100+100 \right]$
= Rs 120

Question -12

A man buys shares at the par value of Rs 10 yielding 8% dividend at the end of a year. Find the number of shares bought if he receives a dividend of Rs 300.

Answer -12

Face value of each share = Rs 10
Rate of dividend = 8% p.a.
Total dividend = Rs 300

Question- 13

A man invests Rs 8800 on buying shares of face value of rupees hundred each at a premium of 10%. If he earns Rs 1200 at the end of year as dividend, find :
(i) the number of shares he has in the company.
(ii) the dividend percentage per share.

Answer -13

Investment = Rs 8800
Face value of each share = Rs 100
and market value of each share
= Rs 100 + Rs 10 = Rs 110
Total income = Rs 1200
Total face value
= Rs $\\ \frac { 8800\times 100 }{ 110 }$
= Rs 8000

page-40

Question -14

A man invested Rs. 45000 in 15% Rs. 100 shares quoted at Rs. 125. When the market value of these shares rose to Rs. 140, he sold some shares, just enough to raise Rs. 8400. Calculate :
(i) the number of shares he still holds. (2004)
(ii) the dividend due to him on these shares.

Answer- 14

Investment on shares = Rs. 45000
Face value of each share = Rs. 125

Question- 15

Ajay owns 560 shares of a company. The face value of each share is Rs. 25. The company declares a dividend of 9%. Calculate.
(i) the dividend that Ajay will get.
(ii) the rate of interest, on his investment if Ajay has paid Rs. 30 for each share. (2007)

Answer -15

No. of shares = 560
Face value of each share = Rs. 25
Rate of dividend = 9% p.a.
Total face value of 560 shares = Rs. 25 x 560
= Rs. 14000

Question -16

A company with 10000 shares of nominal value of Rs. 100 declares an annual dividend of 8% to the share holders.
(i) Calculate the total amount of dividend paid by the company.
(ii) Ramesh bought 90 shares of the company at Rs. 150 per share.
Calculate the dividend he received and the percentage return on his investment. (1994)

Answer- 16

(i) Number of shares = 10000
Nominal value of each share = Rs. 100
Rate of annual dividend = 8%
Total face value of 10000 shares
= Rs. 100 x 10000
= Rs. 1000000
and amount dividend = Rs $\\ \frac { 1000000\times 8 }{ 100 }$
= Rs 80000
(ii) Number of shares = 90
Face value of each share = Rs. 150
Total face value of 90 shades

Question -17

A company with 4000 shares of nominal value of Rs. 110 declares annual dividend of 15%. Calculate :
(i) the total amount of dividend paid by the company,
(ii) the annual income of Shah Rukh who holds 88 shares in the company,
(iii) if he received only 10% on his investment, find the price Shah Rukh paid for each share. (2008)

Answer- 17

Number of shares = 4000
Nominal (face) value of each share = Rs.110
Total face value of 4000 shares
= Rs.110 x 4000
= Rs, 440000
Rate of annual dividend = 15%
(i) Annual of dividend

= 440000×15/ 100
= Rs.66000

(ii) Number of shares, Shah Rukh has = 88
∴ Face value of 88 shares
= 88 x 110
= Rs.9680
and annual dividend

= Rs.9680×15/ 100
= Rs.1452

(iii) Rate of annual incomes on his investment = 10%
∴ His investment

= 1452×100/ 10
= Rs.14520
and market value of each share

= 14520/ 88
= Rs.165.

Question -18

By investing Rs. 7500 in a company paying 10 percent dividend, an income of Rs. 500 is received. What price is paid for each Rs. 100 share

Answer -18

Investment = Rs. 7500
Rate of dividend = 10%,
Total income = Rs. 500.
Face value of each share = Rs. 100
Total face value = $\\ \frac { 100\times 500 }{ 10 }$ = Rs. 5000
If face value is Rs. 5000, then investment = Rs. 7500
and if face value is Rs. 100 then market value of

Question -19

A man buys 400 ten-rupee shares at a premium of Rs. 2.50 on each share. If the rate of dividend is 8%, Find,
(i) his investment
(ii) dividend received
(iii) yield.

Answer -19

No. of shares = 400
Face value of each share = Rs. 10
Market value of each share
= Rs. 10 + Rs. 2.50
= Rs. 12.50
Rate of dividend = 8%

Question -20

A man invests Rs. 10400 in 6% shares at Rs. 104 and Rs. 11440 in 10.4% shares at Rs. 143. How much income would he get in all ?

Answer -20

In first case; Total investment = Rs. 10400
Rate of dividend = 6%
Market value of each share = Rs. 104
∴ Total dividend = 10400×6 / 104
= Rs. 600
In second case, Investment = Rs. 11440
Rate of dividend = 10.4%
Market value of each share = Rs. 143
∴ Total dividend = Rs.11440×10.4 /143
= Rs. 832
Total dividend from both cases = Rs. 600 + Rs. 832
= Rs. 1432 Ans.

Question -21

Two companies have shares of 7% at Rs. 116 and 9% at Rs. 145 respectively. In which of the shares would the investment be more profitable ?

Answer -21

Let the investment in each case = Rs. 116 x 145
Dividend in first case

= Rs.116×145×9/ 145

= Rs. 1044

From the above it is clear that the second type of share i.e. 9% at Rs. 145 are more profitable.

Question -22

Which is better investment : 6% Rs. 100 shares at Rs. 120 or 8% Rs. 10 shares at Rs. 15

Answer -22

Let the investment in each case = Rs. 120 In the fist case,
Dividend on Rs. 120 = Rs. 6
In second case, Dividend on Rs. 10

Question -23

A man invests Rs 10080 in 6% hundred- rupee shares at Rs. 112. Find his annual income. When the shares fall to Rs. 96 he sells out the shares and invests the proceeds in 10% ten-rupee shares at Rs. 8. Find the change in his annual income.

Answer -23

Investment = Rs. 10080
Face value of each share = Rs. 100
Market value of each share = Rs. 112
Rate of dividend = 6%

Total income for the year

= 10080×6/ 112

= Rs. 540

No. of shares = 10080/112

= 90
Selling price of 90 shares at the rate of Rs. 96 each = 90 x 96 = Rs. 8640
Rate of dividend in new shares = 10%
Face value of each share = Rs. 10
and market value of each share = Rs. 8

No of shares = 8640/8

= 1080
Face value of 1080 shares
= 1080 x 10
= Rs. 10800

∴ Dividend = Rs.10800 x 10/100 =

Rs. 1080
DIfference in income = Rs. 1080 – Rs. 540
= Rs. 540 more.

Question-24

Sachin invest Rs 8500 in 10 % Rs 100 Shares at Rs 170 He sell the share when the price of each share rise y Rs 30 He invest the proceed in 12 % Rs 100 Shares at Rs 125 Find

(i) Sale proceed

(ii) number of Rs 125 share he buys

(iii) The change in his annual income

Answer-24

(i) By investing, share bought = 100

By investing, shares bought =100×8500 /170

= Rs .5000

Total face value of Rs. 100 shares = Rs. 5000

Income = 10 % of face value

=10×5000 /100

= Rs . 500

By selling Rs.100 share, money received = 170 + 30 = Rs. 200
By selling Rs. 5000 shares money, money received =200×5000 /100

=Rs.10000

Sale Proceeds = Rs. 10000

(ii) By investing Rs. 125, No. of Rs. 100 share bought = 1
By investing Rs. 10000, No. of Rs. 100 shares bought =10000/ 125

=80

∴ No. of Rs. 125 shares bought = 80

(iii) By investing Rs. 125 in Rs. 100 share, Income = Rs. 12
By investing Rs. 10000 in Rs. 100 share, Income =12×10000 /125

=Rs .960

Increase in income = Rs. 960 – Rs. 500

= Rs. 460

Question -25

A person invests Rs. 4368 and buys certain hundred-rupee shares at 91. He sells out shares worth Rs. 2400 when they have t risen to 95 and the remainder when they have fallen to 85. Find the gain or loss on the total transaction,

Answer -25

Investment = Rs. 4368
Market value of each share = Rs. 91
Face value of each share = Rs. 100

Question -26

By purchasing Rs. 50 gas shares for Rs. 80 each, a man gets 4% profit on his investment. What rate percent is company paying ? What is his dividend if he buys 200 shares ?

Answer -26

Market value of each share = Rs 80
Face value of each share = Rs. 50
Interest on investment = 4%

Dividend = Rs 10000 x $\\ \frac { 6.4 }{ 100 }$
= Rs 640

Question- 27

Rs. 100 shares of a company are sold at a discount of Rs. 20. If the return on the investment is 15%. Find the rate of dividend declared

Answer -27

Market value of each shares = 100 – 20
= Rs.80
Interest on investment of Rs. 80
…….= 15% x 80
,,,,,,,,= $\\ \frac { 15 }{ 100 }$ x 80
so = Rs 12
Dividend on face value of Rs. 100 = Rs. 12
Rate of dividend = 12%. Ans.

Question -28

A company declared a dividend of 14%. Find tire market value of Rs. 50 shares if the return on the investment was 10%.

Answer -28

Rate of dividend = 14%
Dividend on Rs. 50 = $\\ \frac { 14\times 50 }{ 100 }$ = Rs 7
Now Rs. 10 is interest on the investment of
= Rs. 100
Rs. 7 will be the interest on
= $\\ \frac { 100\times 7 }{ 10 }$ = Rs. 70
Hence Market value of Rs. 50 shares = Rs. 70Ans.

page-41

Question- 29

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)

Answer -29

No. of shares = 10000
Face value of each share = Rs. 100
Rate of dividend = 5%
(i) Total face value of 10000 shares
= Rs. 100 x 10000
= Rs. 1000000

Question -30

A man sold some Rs. 100 shares paying 10% dividend at a discount of 25% and invested the proceeds in Rs. 100 shares paying 16% dividend quoted at Rs. 80 and thus increased his income by Rs. 2000. Find the number of shares sold by him.

Answer -30

Face value of each share = Rs. 100
Market value of each share
= Rs. 100 – Rs.25
= Rs. 75
Rate of dividend = 10%
Let no. of shares = x
Selling price = x × 75 =Rs. 75x
Face value of x share = 100 x

∴ Increase in income = 15x – 10x = 5x
Now 5x = 2000

∴ x = 2000 / 5

= 400
∴ Hence No. of shares purchased = 400.

Question -31

A man invests Rs. 6750, partly in shares of 6% at Rs. 140 and partly in shares of 5% at Rs. 125. If his total income is Rs. 280, how much has he invested in each ?

Answer -31

Let the investment in first case = x
Then investment in second case = (6750 – x)
In first case, the dividend

⇒ 15x + 14(6750 – x) = 280 x 350 …(L.C.M. = 350)
⇒ 15x + 14 x 6750 – 14x = 280 x 350
⇒ x = 280 x 350 – 14 x 6750
= 98000 – 94500 = Rs. 3500
∴ Investment in first case = Rs. 3500
and investment in second case
= 6750 – 3500
= Rs. 3250.

Question- 32

Divide Rs. 20304 into two parts such that if one part is invested in 9% Rs. 50 shares at 8% premium and the other part is invested in 8% Rs. 25 shares at 8% discount, then the annual incomes from both the investment are equal

Answer- 32

Total amount = Rs 20304
Let amount invested in 9% Rs 50 at 8%
premium = x
Then amount invested in 8% Rs 25 at 8%
Discount = 20304 – x
Income from both investments are equal Now income from first type of shares

∵ In both cases, annual income is same

∴ x/12 =2(20304-x) / 23
⇒ 23x = 24(20304 – x) …(By cross multiplication)
⇒ 23x = 24 x 20304 – 24x
⇒ 23x + 24x = 24 x 20304
⇒ 47x = 24 x 20304

∴ x = 24×20304/47

= 10368
∴ Amount invested in first kind of shares
= ₹10368
and in second kind of shares
= ₹20304 – ₹10368
= ₹9936.

MCQs of Shares and Dividends ML Aggarwal Solutions ICSE Class-10 Maths

page-41

Question-1

If Jagbeer invest ₹10320 on ₹100 shares at a discount of ₹ 14, then the number of shares he buys is
(a) 110
(b) 120
(c) 130
(d) 150

Answer- 1

Investment = ₹ 10320
Face value of each share = ₹100
M.V. of each share = ₹100 – 14 = ₹86
No. of shares = $\\ \frac { 10320 }{ 86 }$ = 120 (b)

Question- 2

If Nisha invests ₹19200 on ₹50 shares at a premium of 20%, then the number of shares she buys is
(a) 640
(b) 384
(c) 320
(d) 160

Answer -2

Investment = ₹19200
Face value of each share = ₹50
M.V. = ₹50 x $\\ \frac { 120 }{ 100 }$ = ₹60
Number of shares = $\\ \frac { 19200 }{ 60 }$
= 320 (c)

Question -3

₹40 shares of a company are selling at 25% premium. If Mr. Jacob wants to buy 280 shares of the company, then the investment required by him is
(a) ₹11200
(b) ₹14000
(c) ₹16800
(d) ₹8400

Answer -3

Face value of each share = ₹40
M.V. = 40 x $\\ \frac { 125 }{ 100 }$ = ₹50
Number of shares = 280
Total investment = ₹280 x 50 = ₹ 14000 (d)

Question -4

Arun possesses 600 shares of ₹25 of a company. If the company announces a dividend of 8%, then Arun’s annual income is
(a) ₹48
(b) ₹480
(c) ₹600
(d) ₹1200

Answer -4

Number of shares = 600
F.V. of each share = ₹25
Rate of dividend = 8%
Annual income = 600 x 25 x $\\ \frac { 8 }{ 100 }$
= ₹1200 (d)

Question- 5

A man invests ₹24000 on ₹60 shares at a discount of 20%. if the dividend declared by the company is 10%, then his annual income is
(a) ₹3000
(b) ₹2880
(c) ₹ 1500
(d) 1440

Answer -5

Investment = ₹24000
F.V. of each share = ₹60
M.V. at discount of 20% = 60 x $\\ \frac { 80 }{ 100 }$ = ₹48
Rate of dividend = 10%

Question-6

Salman has some shares of ₹50 of a company paying 15% dividend. If his annual income is ₹3000, then the number of shares he possesses is
(a) 80
(b) 400
(c) 600
(d) 800

Answer- 6

F.V. of each share = ₹50
Dividend = 15%
Annual income = ₹3000
Let x be the share, then
F.V. of shares = x × 50 = ₹50x

Dividend = (50x+15 )/ 100

= 30

= 15x / 2 = 3000

⇒ x = (3000×2) / 15
⇒ x = 400
∴ Number of shares = 400.

Chapter-Test Shares and Dividends ML Aggarwal Solutions

page-43

Question -1

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

Answer -1

Income on one share = $\\ \frac { 9 }{ 100 }$ x 20
= Rs $\\ \frac { 9 }{ 5 }$
.’. No. of shares = 1080 x $\\ \frac { 5 }{ 9 }$
= 120 x 5 = 600 Ans.

Question -2

Find the percentage interest on capital invested in 18% shares when a Rs 10 share costs Rs 12.

Answer -2

Dividend on one share = 18% of Rs 10
= $\\ \frac { 18\times 10 }{ 100 }$
= Rs $\\ \frac { 9 }{ 5 }$

Question -3

Rohit Kulkami invests Rs 10000 in 10% Rs 100 shares of a company. If his annual dividend is Rs 800, find :
(i) The market value of each share.
(ii) The rate percent which he earns on his investment.

Answer- 3

Investment = Rs 10000
Face value of each share = Rs 100
Rate of dividend = 10%
Annual dividend = Rs 800

(i) ∴ Market value = 10000×10 / 800

= ₹ 125

(ii) Rate percent on investment

= 800×100 / 10000

= 8%.

Question- 4

At what price should a 9% Rs 100 share be quoted when the money is worth 6% ?

Answer- 4

If interest is 6 then investment = Rs 100
and if interest is 9, then investment
= Rs $\\ \frac { 100\times 9 }{ 6 }$
= Rs 150
Market value of each share = Rs 150 Ans

Question -5

By selling at Rs 92, some 2.5% Rs 100 shares and investing the proceeds in 5% Rs 100 shares at Rs 115, a person increased his annual income by Rs 90. Find:
(i) the number of shares sold.
(ii) the number of shares purchased.
(iii) the new income.
(iv) the rate percent which he earns on his investment.

Answer -5

Rate of dividend = 2.5% and market price = Rs 92
Let number of shares purchased = x.
Selling price of x shares = 92 x
Income from investing

Question -6

A man has some shares of Rs. 100 par value paying 6% dividend. He sells half of these at a discount of 10% and invests the proceeds in 7% Rs. 50 shares at a premium of Rs. 10. This transaction decreases his income from dividends by Rs. 120. Calculate:
(i) the number of shares before the transaction.
(ii) the number of shares he sold.
(iii) his initial annual income from shares.

Answer -6

Let no. of shares = x
Value of x shares = x × 100 = 100 x

(i) ∴ No. of share he hold initially = 320

(ii) No. of share he hold later = 320/ 2 = 160
(iii) Amount of income initially
= 320 x 6
= Rs. 1920.

Question- 7

Divide Rs. 101520 into two parts such that if one part is invested in 8% Rs. 100 shares at 8% discount and the other in 9% Rs. 50 shares at 8% premium, the annual incomes are equal.

Answer- 7

Total investment = Rs. 101520
Let investment in first part = x
and in second part = (101520 – x)
Market value of first kind of shares = Rs. 100 – Rs. 8
= Rs. 92
and rate of dividend = 8%

Question- 8

A man buys Rs. 40 shares of a company which pays 10% dividend. He buys the shares at such a price that his profit is 16% on his investment. At what price did he buy each share ?

Answer -8

Face value of each share = Rs. 40
Dividend = 10%
Gain on investment = 10%

∴ Dividend on Rs. 40 = 40×10 / 100

= Rs. 4
Now Rs. 16 is interset on the market value = Rs. 100
∴ Market value if interset is Rs. 4

= 100×4/ 16

= Rs. 25.

Question -9

A person invested 20%, 30% and 25% of his savings in buying shares at par value of three different companies A, B and C which declare dividends of 10%, 12% and 15%respectively. if his total income on account of dividends be rs. 4675, find his savings and the amount which he invested in buying shares of each company

Answer-9

update soon

Question-10

virat and dhoni invest 36000 each in buying shares of two companies virat buy 15 % of RS 40 Shares at a discount 20% while dhoni buy 75 share at a premium 20 % if both receive equal dividends at he end of year find the rate percent of dividend declared by dhoni company.

Answer-10

update soon

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