Question

What is the amount of dividend per share if the face value of each share is $ Rs10 $ and the dividend declared as $ 50\% $ .

Answer 1

Hint: In the given question, we are required to find the amount of dividend per share. The face value of each share and percentage of the dividend declared is given to us in the problem itself. The question requires us to find a specific percentage of a given number. To solve this problem, we need to know how to write a number in percentage. We can solve this problem by two methods. We can solve either by normal method by finding the percentage of the whole number or by using the unitary method. Such questions require accuracy in arithmetic.

Complete step by step solution:
In this specific question, we are given the face value of each share of a company as $ Rs10 $ . Also, they are given that the company has declared a dividend of $ 50\% $ on each share. So, we have to calculate the amount of dividend per share.
So, we have to find $ 50\% $ of $ Rs10 $ .
So, let $ 50\% $ of $ Rs10 $ be x.
Then, \[x = 50\% \] of $ Rs10 $ .
\[ \Rightarrow x = \dfrac{{50}}{{100}} \times Rs10\]
Cancelling the common factors in the numerator and denominator of the fraction, we get,
\[ \Rightarrow x = Rs\dfrac{{10}}{2}\]
\[ \Rightarrow x = Rs\,5\]
So, $ 50\% $ of $ Rs\,10 $ is $ Rs\,5 $ .
So, the amount of dividend declared per share if the face value of each share is $ Rs10 $ and the dividend declared as $ 50\% $ is $ Rs\,5 $
This is our required final answer for the given problem.

Note: We must know that the percentage of the dividend is always declared on the face value of the share and not the actual market price of the share. Work as many problems as possible to crack these types of problems in a limited time period. One must take care while doing the calculations in order to be sure of the final answer.