(1) If the Face Value of a share is Rs. 100 and Market value is Rs. 75, then which of the following statements is correct?
A. The share is at premium of Rs. 175
B. The share is at discount of Rs. 25
C. The share is at premium of Rs. 25
D. The share is at discount of Rs. 75
Solution:
B. The share is at discount of Rs. 25
Explanation:
Market value = Rs. 75
Face Value = Rs. 100
If the market value is at a lower price than the face value then the share is in a discount.
Discount = (Face Value-Market value) = Rs. 25
(2) What is the amount of dividend received per share of face value Rs. 10 and dividend declared is 50%.
A. Rs. 50
B. Rs. 5
C. Rs. 500
D. Rs. 100
Solution:
B. Rs. 5
Explanation:
Rate of dividend = 50%
Dividend =
(3) The NAV of a unit in mutual fund scheme is Rs. 10.65 then find the amount required to buy 500 such units.
A. 5325
B. 5235
C. 532500
D. 53250
Solution:
A. 5325
Explanation:
Net Asset Value = (N.A.V. of one unit × No. Of units) = Rs. 5325
(4) Rate of GST on brokerage is . . .
A. 5%
B. 12%
C. 18%
D. 28%
Solution:
C. 18%
Explanation:
Rate of GST on Brokerage is 18% according to Central board of Exercise and customs
(5) To find the cost of one share at the time of buying the amount of Brokerage and GST is to be . . . the MV of share.
A. added to
B. subtracted from
C. Multiplied with
D. divided by
Solution:
A. added to
Explanation:
The Brokerage and GST needs to be added to the Market Value of share at the time of buying.