πŸ“’ Too many exams? Don’t know which one suits you best? Book Your Free Expert πŸ‘‰ call Now!

  • google app store apple app store
  • βœ–

      Question

      Karim has purchase 100 shares of company X and company Y

      each at per share price of Rs.120 and Rs.150 respectively. After six months the share price of company X is Rs.100 and of the company Y is Rs.200. What is the annual return Karim gets on the portfolio?
      A 11.11% Correct Answer Incorrect Answer
      B 22.22% Correct Answer Incorrect Answer
      C 33.33% Correct Answer Incorrect Answer
      D 25.27% Correct Answer Incorrect Answer
      E 17.78% Correct Answer Incorrect Answer

      Solution

      Value of the portfolio at the time of buying = 120x100 + 150 x 100 =27,000 Exisitng value of the portfolio = 100x100 + 200x 100= 30,000 % gain in six month = (30,000-27,000)/27,000 = 11.11% Therefore annual return = 22.22%

      Practice Next

      Relevant for Exams:

      ask-question