An investor holds 2,000 ordinary shares in a company. The company declares a dividend of ₦3.50 per share. What is the total dividend received by the investor?
A₦3,500
B₦5,000
C₦7,000CORRECT
D₦70,000
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Why the answer is C, and why the others tempt you.
Total dividend = Number of shares × Dividend per share = 2,000 × ₦3.50 = ₦7,000. Option A (₦3,500) is the result of multiplying 1,000 shares instead of 2,000, while option D (₦70,000) arises from a decimal error.
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