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Find the investment required to purchase $ 125000 of 8% stock at 92.
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- $ 115000
- $ 120000
- $ 105000
- $ 125000
Correct Option: A
Given that :- purchase stock = $ 125000
Market value of $ 100 stock = $ 92
Market value of $ 1 stock
| = $ |  | 92 |  |
| 100 |
∴ Market value of $ 125000 stock = Market value of $ 1 stock x purchase stock
| = $ | | 92 | x 125000 | | = $ 115000 |
| 100 |
∴ An investment of $ 115000 is required to purchase $ 125000 of 8% stock at 92.
