Aptitude Stocks and Shares Test Paper 1

11) A man invested Rs. 5820 in 5% stock at 95 and sold it when the price rose to Rs. 107. He invested the sale proceeds in 8% stock at 88. What is the change in man?s income if the Brokerage is Rs. 2?

Rs. 300
Rs. 290
Rs. 270
Rs. 260

Answer: D

Explanation:

Purchase price of the first stock = Rs. 95 + Rs. 2 = Rs. 97
So, the number of stocks purchased = 5820/97 = 60
Since the face value is not given, let it be Rs. 100.
So, dividend per share = Rs. 5
Income = no. of stocks * dividend per share
= 60 * 5 = 300
Sale price of the stock = 107 -2 = 105
So, the amount received by selling all stocks = 60 * 105 = 6300
This amount is invested by him in 8% stock at 88
Purchase price of this stock = 88 + 2 = 90
The total number of stocks purchased in this case = 6300 / 90 = 70
Since the face value is not given, it can be taken Rs. 100.
So, dividend per share = Rs. 8
Income = 70 * 8 = Rs. 560
Change in income = 560 - 300 = Rs. 260

12) A company issued 25000 shares of par value Rs. 15 each. If the company has decided to give the dividend Rs. 30000, what is the rate of dividend paid by the company?

Answer: B

Explanation:

Number of shares = 25000

Face value of each share = Rs. 15

Let R is the rate of interest.

Dividend per share = 15 * Apti Stocks and Shares

Total dividend = 25000 * 15 * Apti Stocks and Shares

As per the question: 25000 * 15 * Apti Stocks and Shares = 30000

R = Apti Stocks and Shares = 8

So, the dividend is 8%.

13) Raman invested Rs. 347200 in 5% stocks at 120. If the brokerage is Rs. 2, find his annual income from his investment.

Rs.15000
Rs.14500
Rs.14000
Rs.13500

Answer: C

Explanation:

Investment = Rs. 347200
Since face value is not given, we can take it as Rs. 100
So, dividend per share = Rs. 5
Market value = 120 + 2 = 124
Number of shares purchased = 347200/ 124 = 2800
Total income = 2800 * 5 = Rs. 14000

14) What is the income on 9% stock of Rs. 1500 purchased at Rs. 110?

Rs.135
Rs.125
Rs.145
Rs.130

Answer: A

Explanation:

The face value = Rs. 1500
Market value = Rs. 110
Income or Dividend = Apti Stocks and Shares = Rs.135

15) A company decided to pay a semi-annual dividend of 9%. Find the annual income of Ram owing 2500 shares of the company with a par value of Rs. 15 each.

Rs. 6550
Rs. 6750
Rs. 6650
Rs. 6450

Answer: B

Explanation:

The face value is given Rs. 15
Semi-annual dividend = 15* Apti Stocks and Shares = Rs. 1.35
Ram has 2500 shares.
So, the total semi-annual dividend = 2500 * 1.35 = Rs. 3375
Annual dividend will be double, so it is = 2 * 3375 = Rs. 6750