Discussion Forum



1)

Find the purchase cost of 100 shares of Rs. 10 each at 3/8 discount brokerage being 1/8 per share


A) 970

B) 975

C) 980

D) 990

E) 974

Answer:

Option B

Explanation:

Market value = Face value - discount

.'. Cost of 1 share = Face value - discount + brokerage

=(10- (3/8)) + (1/8)= 9 (3/4)

Cost of 100 shares = 100 X  9 (3/4)=(100 X 39)/ 4= Rs. 975