Answer : Option D

Explanation :

Purchase price of the first stock = Rs. 95 + Rs. 2 = Rs. 97
So, the number of stocks purchased = 5820/97 = 60
Since the face value is not given, let it be Rs. 100.
So, dividend per share = Rs. 5
Income = no. of stocks * dividend per share
= 60 * 5 = 300
Sale price of the stock = 107 -2 = 105
So, the amount received by selling all stocks = 60 * 105 = 6300
This amount is invested by him in 8% stock at 88
Purchase price of this stock = 88 + 2 = 90
The total number of stocks purchased in this case = 6300 / 90 = 70
Since the face value is not given, it can be taken Rs. 100.
So, dividend per share = Rs. 8
Income = 70 * 8 = Rs. 560
Change in income = 560 - 300 = Rs. 260