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

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

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Let the investment in each case = Rs. 120 In the first case,

Dividend on Rs. 120 = Rs. 6

In second case, Dividend on Rs. 10

= 8 × 10/100 = 0.8

Now dividend on Rs. 15 = 0.8

then dividend on Rs. 120 = (0.8 × 120)/15 = Rs. 6.4

It is clear that, second investment i.e. 8%

Rs.10 shares at 15 is more profitable.