Question

9. Calculation of value of
shares of a public company
based on amount of Assets
and liabilities of the company is
known as
O face value
o intrinsic value
O market value
o none of these​

Answer 1

Answer:

Intrinsic value of share

Explanation:

We use the net asset method to calculate the intrinsic value of shares .

i.e. Amount available for equity shareholders   = Asset - Outside liability .

Intrinsic value of shares = Amount available for equity shareholders / No. of equity shares in the company