Practice Quantitative Aptitude questions on Stocks and Shares, covering share prices, face value, market value, dividends, brokerage, investment returns, and profit or loss on share transactions. Takes about 20–25 minutes and is useful for placement tests, TCS NQT, SSC, banking and MBA entrance exams.
Question 1
Find the number of shares that can be bought for Rs.8200 if the market value is Rs.20 each with brokerage being 2.5%.
Explanation
Cost of each share = 20 + 2.5% of 20 = Rs.20.5. Number of shares = 820020.5 = 400.
Question 2
Find the market value of the stock if 6% yields 10%.
Explanation
For a desired yield of 10%, an investment of Rs.100 gives an income of Rs.10. So for the stock's income of Rs.6, the investment = 60010 = Rs.60.
Question 3
What is the investment made if one invests in 15% stock at 50 and earns Rs.1500?
Explanation
To earn Rs.15, the investment required is Rs.50. Hence, to earn Rs.1500, investment = 1500 × 5015 = Rs.5000.
Question 4
A company pays 12.5% dividend to its investors. If an investor buys Rs.50 shares and gets 25% on investment, at what price did the investor buy the shares?
Explanation
Dividend on 1 share = 12.5 × 50100 = Rs.6.25. Since Rs.25 income corresponds to an investment of Rs.100 (a 25% yield), Rs.6.25 income corresponds to an investment of 6.25 × 10025 = Rs.25.
Question 5
Which of the following is a better investment?
Explanation
Effective yield per Rs.100 invested: for 10% stock at 80, yield = 100 × 1080 = 12.5%. For 15% stock at 70, yield = 100 × 1570 = 21.43%. For 12% stock at 75, yield = 100 × 1275 = 16%. The 15% stock at 70 gives the highest yield, making it the better investment.
Question 6
Rs.7,50,000 are invested in Rs.100 shares which are quoted at Rs.1200. Find the income if 25% dividend is declared on the shares.
Explanation
Number of shares = 7500001200 = 625. Dividend per share = 25% of the face value Rs.100 = Rs.25. Income = 625 × 25 = Rs.15,625.
Question 7
Amit invests Rs.9000 partly in 5% Rs.100 shares at Rs.125, and partly in 3% Rs.100 shares at Rs.60. If his total income is Rs.400, how much has he invested in each?
Explanation
Income on the first shares = 5 on every Rs.125 invested, which is 4% of the investment. Income on the second shares = 3 on every Rs.60 invested, which is 5% of the investment.
Let x be invested in the first shares. 0.04x + 0.05(9000 - x) = 400, so 450 - 0.01x = 400 and x = 5000.
The investment is Rs.5000 in the first and Rs.4000 in the second.
Let x be invested in the first shares. 0.04x + 0.05(9000 - x) = 400, so 450 - 0.01x = 400 and x = 5000.
The investment is Rs.5000 in the first and Rs.4000 in the second.
Question 8
Rs. 6,00,000 are invested in Rs. 100 shares which are quoted at Rs. 120. Find the income if 20% dividend is declared on the shares.
Explanation
Number of shares bought = 600000 / 120 = 5000.
Face value total = 5000 × 100 = Rs. 5,00,000.
Dividend income = 20% of 5,00,000 = Rs. 1,00,000.
Face value total = 5000 × 100 = Rs. 5,00,000.
Dividend income = 20% of 5,00,000 = Rs. 1,00,000.
Question 9
X buys 200 shares at Rs.99.70, 300 at Rs.100.10, and 100 at Rs.100.50. Then the price settles at Rs.99.95. How many should he buy at this price, so that his average cost is Rs.100 per share?
Explanation
Cost so far = 200 × 99.70+300 × 100.10+100 × 100.50 = 60020 for 600 shares. For n more shares at 99.95, (60020+99.95n)/(600+n)=100 gives n=400.
Question 10
What is the CP of Rs 100 stock at 4 discount, with 15% brokerage?
Explanation
The cost price of Rs. 100 stock at a discount of 4 = 100 - 4 = Rs. 96.
The brokerage is 15% of 100 = Rs. 0.20.
Cost price = 96 + 0.20 = Rs. 96.2.
The brokerage is 15% of 100 = Rs. 0.20.
Cost price = 96 + 0.20 = Rs. 96.2.
Question 11
What investment must be made to obtain Rs 650 income from 10% stock at Rs 96?
Explanation
The investment to get an income of Rs. 650 from a 10% stock at Rs. 96 = 650 × 9610 = Rs. 6240.
