A man buys Tk. 50 shares in a company which pays 10% dividend. If the man gets 12.5% on his investment, at what price did he buy the shares?

A man buys Tk. 50 shares in a company which pays 10% dividend. If the man gets 12.5% on his investment, at what price did he buy the shares? Correct Answer Tk. 40

Hints: Dividend on 1 share = (50×10%) Tk = 50 ×(10/100) = 5 Tk. Tk. 12.5 is an income on an investment of Tk. 100 Tk. 5 is an income on an investment of Tk (100×5) / 12.5 = 40
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