A man buys $50 shares in a company which pays 10% dividend. If the man gerts 12.5% on his investment, at what price did he buy the shares?  Choices.
A) 37.5
B) 40
C) 50
D) 48
E) 52
Dividend on 1 share = $(10/100*50)= 
<gadget id="calculator">(10/100*50)</gadget>
<output>5</output>
$5   $12.5 is an income on an investment of $100   $5 is an income on an investment of $  (100*2/25*5)= 
<gadget id="calculator">  (100*2/25*5)</gadget>
<output>40</output>
40   Thus, cost of 1 share=$40   ANSWER 40
<result>B</result>
A man buys $50 shares in a company which pays 10% dividend. If the man gerts 12.5% on his investment, at what price did he buy the shares?