n NISM Certifications
XV NISM Series XV
Medium

Given EPS = Rs. 12 and market price = Rs. 360, what is the earnings yield?

Practice question from NISM XV Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    12%

  2. 3.33%

    Correct answer

  3. C

    9.5%

  4. D

    Cannot be calculated with the given data

Why this is the answer

Earnings Yield = (EPS ÷ Market Price) × 100 = (12 ÷ 360) × 100 = 3.33%.

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