Sample Questions on Stocks and Shares

Q1. A person invested in 8% stock at 80 and earned Rs.1000. Find his investment. 

A) Rs. 8000 

B) Rs. 10000 

C) Rs. 12000 

D) Rs. 15000

Answer: B

Explanation:- 

Market value = 80 

Face value = 100 

Dividend = 8% of face value =Rs.8 

So, Investment = (Income × market value)/R%

                            = (1000 × 80)/8

                            = Rs. 10,000 

Thus, the investment is Rs. 10000. 

Thus, the correct option is B.

Q2. An investor invested in 20% stock at Rs. 120 and earned Rs. 500. Find his investment. 

A) Rs. 3000

B) Rs. 2500

C) Rs. 5000

D) Rs. 1000

Answer: A 

Explanation:-

Income = 500 ; Market value = 120 ; Rate = 20% 

So, Investment = (income × market value)/R% 

                            = (500 × 120)/20 

                            = 3000 

Therefore, His investment is Rs. 3000. 

Thus the correct option is A. 

Q3. A businessman buys 10 shares of Rs.100 at 10 discount, and the rate of dividend is 30. Find the rate of interest. 

A) 12%

B) 20%

C) 25%

D) 33⅓%

Answer: D

Explanation:- 

Here, investment = 10 × (100 – 10) = 900 

Face value = Rs. 1000 

Dividend = (30 × 1000)/100 = 300 

Interest = (Dividend × 100)/investment 

               = (300 × 100)/900 %

               = 33⅓ % 

Thus, the rate of interest is 33⅓%. 

The correct option is D. 

Q 4. Find the cost price of an Rs.200 stock at a 12 discount, when the brokerage is 4%. 

A) 92

B) 100

C) 112

D) 88

Answer: A

Explanation:-

Face value = 100 

Discount = 12% 

Brokerage = 4% 

Thus, Cost price = 100 – 12 + 4 = 92 

Therefore the correct option is A. 

Q 5. What is the market value of a 15% stock yielding 5% quoted? 

A) Rs. 200

B) Rs. 105

C) Rs. 600

D) Rs.300

Answer: D

Explanation:- 

Face value = 100

Market value = (100 × 15)/5 = 300 

Thus, the correct option is D. 

Q 6. Rakesh invests Rs.1800 in a stock at 90 and earns Rs.180 then find his dividend. 

A) 6%

B) 9%

C) 3%

D) 10%

Answer: B

Explanation:-

Income is Rs.180 when investment is Rs.1800 

Now investment is Rs.90, then income = (180 × 90)/1800 =Rs. 9 

Therefore, his dividend is = 9% 

Thus, the correct option is B. 

Q 7. An investor invested Rs.12550 in Rs.15 shares quoted at Rs.12.5, then find the number of shares of the investor. 

A) 1004 

B) 1200 

C) 550 

D) 735 

Answer: A

Explanation:-

Number of shares = (12550/12.5) = 1004 

Thus, the correct option is A. 

Q 8. What is the cost price of an Rs.100 stock at a 20 discount and brokerage is 1%? 

A) 90 

B) 80 

C) 81 

D) 79 

Answer: C 

Explanation:- 

Face value = 100 

Discount = 20 

Brokerage = 1% 

Cost price = ( 100 – 20 + 1) = 81 

Thus, the correct option is C. 

Q 9. An investor invested Rs. 12550 in Rs.20 shares quoted at Rs 12.50. What is his annual income of the rate of dividend is 11%. 

A) 2208.80 

B) 2000.50 

C) 2500 

D) 2800.80 

Answer: A 

Explanation:- 

Number of shares = (12550/12.5) = 1004 

Face value = (1004 × 20) = 20080 

So, annual income = (11 × 20080)/100 

                                  = Rs.2208.80 

Thus, the correct option is A. 

Q 10. Find the amount of a stock quoted when the investment is Rs.15000 in 15% stock and earning is Rs.150. 

A) 1200 

B) 1800 

C) 1500 

D) 2500 

Answer: C 

Explanation:-

Earning is Rs.150 when the investment is Rs.15000.

To earn Rs. 15 , investment be = (15000 × 15)/150 

                                                       = RS. 1500 

Thus, the correct option is C.

‘Stocks and Shares’ is an important topic of the Quantitative Aptitude section for all competitive examinations. To solve the questions of ‘Stocks and Shares’, you must know the terms and formulas of ‘Stocks and Shares’. Practicing questions within the time limit becomes important for the candidates.

In the following article, we have discussed the important terms, concepts, formulas, and practice questions related to ‘Stocks and Shares’. So try and practice the following questions about stocks and shares to improve your score in the exams.