The market value of a 10.5% stock, in which an income of Rs. 756 is derived by investing Rs. 9000, brokerage being 1/4% is

A.  Rs. 108.25
B.  Rs. 112.20
C.  Rs. 124.75
D.  Rs. 125.25
Answer: C

Explanation:

For an income of Rs. 756, investment = Rs. 9000.
For an income of Rs. 21/2 , investments = Rs. (9000/756 x 21/2)
                                                                  = Rs. 125.
For a Rs. 100 stock, investment = Rs. 125.
Market value of Rs.100 stock = Rs.(125 - 1/4)
                                                = Rs. 124