A man buys Rs. 20 shares paying 9% dividend. The man wants to have an interest of 12% on his money. The market value of each share is:

A. Rs. 12 B. Rs. 15
C. Rs. 18 D. Rs. 21

• Dividend on Rs. 20 = Rs(9/100)x20 = Rs 9/5
  Rs. 12 is an income on Rs. 100.
  Rs.9 is an income on Rs. (100/120)x(9/5)= Rs. 15.
• 12 years agoHelpfull: Yes(9) No(1)
• 15
  
  
  The market value of each share is 20*9/12= 15
• 13 years agoHelpfull: Yes(7) No(5)
• As dividend rate is 9% so 9% of ₹20 is 20*(9/100)=₹(9/5)
  Now Let ₹100 be the income then ₹12 is interest amount
  for ₹9/5 to be interest amount we get income of (100/12)*(9/5)=₹15
• 8 years agoHelpfull: Yes(1) No(0)