Question

Shriyash purchased a share of FV Rs.100 for MV of Rs.120. Company declared 15% dividend on the share. Find the rate of return.

Answer 1

FV = Rs.100, MV = Rs.120 D = Dividend = 15% per share

Remember here, that on investment of Rs.120 Shriyash got Rs.15.

Let the rate of return be x% 

Ans. The rate of return for Shriyash is 12.5%.