1.  A man bought 20 shares of ₹ 50 at 5 discount, the rate of dividend being 13. The rate of interest obtained is:

A. 12(1/2)%
B. 13(1/2)%
C. 15%
D. 16(2/3)%

Answer: Option C

Explanation:

Investment = ₹ [20 x (50 - 5)] = ₹ 900.

Face value = ₹ (50 x 20) = ₹ 1000.

Dividend = ₹ 27 x 1000 = ₹ 135.
2 100

Interest obtained = 135 x 100 % = 15%
900