Question

Sint. Aruna Thakkar purchased 100 shares of FV 100 when the MV is Rs.1200. She paid brokerage at the rate of 0.3% and 18% GST on brokerage. Find the following – 

i. Net amount paid for 100 shares. 

ii. Brokerage paid on sum invested. 

iii. GST paid on brokerage. 

iv. Total amount paid for 100 shares.

Answer 1

Here, FV = Rs.100, 

Number of shares = 100, MV = Rs.1200 

Brokerage = 0.3%, GST = 18% 

i. Sum invested = Number of shares × MV 

= 100 × 1200 = Rs.1,20,000 

∴ Net amount paid for 100 shares is Rs.1,20,000.

ii. Brokerage = 0.3% of sum invested 

= (0.3/100) × 1,20,000 = Rs.360 

∴ Brokerage paid on sum invested is Rs.360. 

iii. GST = 18% of brokerage 

= (18/100) × 360 = Rs.64.80 

∴ GST paid on brokerage is Rs.64.80. 

iv. Total amount paid for 100 shares 

= Sum invested + Brokerage + GST 

= 1,20,000 + 360 + 64.80 

= Rs.1,20,424.80 

∴ Total amount paid for 100 shares is Rs.1,20,424.80.