A share is bought for ₹200, earns a dividend of ₹10 and is sold a year later for ₹230. What is the rate of return for the year?

Explanation

1. 01

   The return is the gain in price plus the income: $(230 - 200) + 10 = 40$ rupees.

2. 02

   Rate of return $= \frac{40}{200} \times 100 = 20\%$.