Paper I · 16 Logical Reasoning, Analytical Ability & Data Interpretation · 16.3 Percentages and commercial arithmetic

16.3.12 Stocks and shares: face value, market value, dividend and yield

Dividend is paid on the face value but you pay the market value, so the real return is dividend ÷ market price, and "x% stock at y" means Rs y buys Rs x of yearly income.

  • TGPSC MPSO / ASO · Paper I
  • Standard level
  • 5 min read
  • Full course

Key terms

  • face value
  • market value
  • at par
  • premium
  • discount
  • dividend
  • yield
  • rate of return
  • x% stock at y
  • brokerage
  • income from investment

What this note covers

  1. Core factsFoundation
  2. ExplainedStandard
  3. DeeperAdvanced
  4. Common trapsFoundation
  5. Quick revisionFoundation

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