Waec Model Questions Vol1 2025 Commerce Question 19

Practice objective / multiple choice question 19 from the 2025 Waec Model Questions Vol1 Commerce examination.

Waec Model Questions Vol1 2025 Commerce Objective / Multiple Choice Hard Difficulty
Question 19 WAEC_MODEL_QUESTIONS_VOL1 • 2025 • COMMERCE • objective

A company's shares pay an annual dividend of ₦2.50 per share. A 10% withholding tax is deducted at source. An investor wants a net dividend yield of at least 5% and also wants the price‑earnings (P/E) ratio to be no more than 12. The company's earnings per share (EPS) for the last year were ₦5.20. What is the maximum price per share the investor should be willing to pay?

Answer Options

Correct Answer A. 45
B. 40
C. 50
D. 55
Correct Answer
A
Correct Option:
45

About This Question

This is Waec Model Questions Vol1 2025 Commerce Question 19. It is one of the objective questions from the 2025 Waec Model Questions Vol1 Commerce examination.

Difficulty level: Hard .

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