Question

Sakshi invests a post of Rs 12000 in 12% stock at Rs 120 and the remainder in 15% stock at Rs 125. If his total dividend per annum is Rs 1360, how much does he invested in 12% stock at Rs 120?
(a)Rs 4000
(b)Rs 4500
(c)RS 5500
(d)Rs 6000

Answer 1

Hint: Consider the investment in 12% stock as ‘\[x\]’. So first the investment in 15% stock. Formula equation connecting the investment in 12% stock.

Complete step-by-step answer:

Stocks are equity investments that represent part of the corporation’s earnings and assets.
 Now it is said that Sakshi invests 12% stock. Let us consider the investments stock in12% as Rs \[x\].
Now let us consider the remaining investments in 15 % stock as Rs\[\left( 12000-x \right)\].
It is given that Sakshi invests a part of Rs 12000 in 12% stock at Rs 120 and remaining 15% stock at Rs 125.
The total dividend per annum = Rs 1360.
Thus we can write connecting all this as,
\[\dfrac{12}{120}x+\dfrac{15}{125}\left( 12000-x \right)=\text{total dividend per annum}\]
\[\therefore \dfrac{12}{120}x+\dfrac{15}{125}\left( 12000-x \right)=1360\]
Now let us simplify the above expression and get the value of \[x\].
\[\dfrac{x}{10}+\dfrac{3}{25}\left( 12000-x \right)=1360\]
\[\dfrac{x}{10}+\dfrac{36000}{25}-\dfrac{3x}{25}=1360\]
\[\dfrac{5x+72000-6x}{50}=1360\]
\[-x+72000=1360\times 50\]
\[\therefore x=72000-(1360\times 50)\]
        \[=72000-68000\]
        \[=4000\]
Thus we got \[x\]\[=4000\].
Thus Sakshi invests Rs 4000 in 12% stock of Rs 120
\[\therefore \] Option (a) is the correct answer.
Note: Dividends are regular payments to shareholders. Not all stock pay dividends, but those that do typically do so on a quarterly basis.
These dividend stocks distribute a portion of the company’s earnings to investors on a regular basis.