A man sells a Rs. 5000, 12% stock at 156, splitting proceeds between an 8% stock at 90 and a 9% stock at 108, raising his income by Rs. 70. How much went into each?
Show answer Hide answer
Answer: A. 3600(8%), 4200(9%)
Explanation
Selling the initial stock yields seventy eight hundred rupees total capital available for reinvestment. Dividing proceeds into two specific stock purchases raises overall annual income by seventy rupees. Testing the investment amounts confirms thirty six hundred in eight percent stock and forty two hundred in nine percent. Stock investments generate periodic dividend income based on face value and market purchase price. Selling securities at a premium increases capital available for purchasing higher yielding alternative assets. Simultaneous equations model the reallocation of investment portfolios to achieve targeted income increases.
Financial advisors restructure client portfolios to maximize dividend yields without increasing overall risk exposure. Bond and stock trading relies on accurate yield calculations to determine profitable asset reallocation strategies. Understanding capital gains helps investors make informed decisions during market fluctuations. Option B suggests forty thousand in eight percent stock which miscalculates total available capital funds. Option C suggests forty thousand in nine percent stock which fails to match the required income increase. Option D suggests equal investment splits which do not satisfy the exact dividend return criteria.
- Subject
- Mathematics
- Category
- Mathematics
- Topic
- —
- Difficulty
- medium
Related questions
Q1. A circle's area expands by 22 sq cm when its radius increases by 1 cm. What was the original radius_________?
Show answer Hide answer
Answer: C. 3 cm
The area of a circle is calculated by multiplying pi by the square of its radius. Expanding the radius by one unit creates a new area expression containing a linear term in r. Equating the area increase to twenty two all...
Q2. A square's area is 4096 sq cm. Find the breadth-to-length ratio of a rectangle whose length is twice the square's side and breadth is 24 cm less than the side.
Show answer Hide answer
Answer: D. None of these
The square area of forty-forty-six means its side length is sixty-four centimeters. The rectangle length is twice the square side, giving one hundred twenty-eight centimeters. The rectangle breadth is twenty-four less th...
Q3. The average age of a husband, wife and their child 3 years ago was 27 years and that of wife and the child 5 years ago was 20 years. The present age of the husband is___________?
Show answer Hide answer
Answer: C. 40 years
The present combined age of all three family members is calculated by adjusting past age sums. Subtracting the current combined age of the wife and child from the total family age gives the answer. The husband's current...
Q4. A square built on a rectangle's diagonal has an area 108 1/3% greater than the rectangle. Given a 28-unit rectangle perimeter, find the difference between its sides.
Show answer Hide answer
Answer: D. 2
Relating the area of a square built on a rectangle diagonal to the rectangle dimensions forms a system of equations. Using the given rectangle perimeter of twenty-eight units establishes the sum of length and breadth as...
Q5. What is the maximum possible area of a triangle inscribed in a semicircle of radius R cm__________?
Show answer Hide answer
Answer: B. R2 cm2
The maximum area triangle inside a semicircle uses the semicircle diameter as its base. The height of this inscribed triangle equals the radius of the supporting semicircle. Multiplying one half by the base length and th...
Q6. Two similar triangles have areas of 12 cm2 and 48 sq cm. If the smaller triangle's height is 2.1 cm, what is the larger triangle's corresponding height_________?
Show answer Hide answer
Answer: B. 4.2cm
The ratio of areas of two similar triangles equals the square of their height ratio. The area ratio of 12 to 48 simplifies to one-fourth, making the height ratio one-half. Multiplying the smaller triangle height of 2.1 c...