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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?

A.	6.25	B.	25
C.	50	D.	12.5

Answer and Explanation

Answer:25

Explanation:
Dividend on 1 share = (12.5 * 50)/100 = Rs.6.25
Rs.25 is income on an investment of Rs.100
Rs.6.25 is income on an investment of Rs. (6.25 * 100)/25 = Rs.25

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