n NISM Certifications
XV NISM Series XV
Medium

A company has a paid-up capital of Rs. 20,00,000 with a face value of Rs. 10 per share. The profit before dividend is Rs. 18,00,000. If the dividend per share is Rs. 6 and the book value per share is Rs. 15, calculate the Return on Equity (ROE).

Practice question from NISM XV Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    45%

  2. 60%

    Correct answer

  3. C

    22.5%

  4. D

    Insufficient data

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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