if the face value of a share is RS.100 and market value is RS. 75 then which of the following statement is correct?
(a) the share is at premium of RS 175
(b) the share is at discount of RS 25
(c) the share is at premium of rs 25
(d) the share is at discount of RS 75
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If the face value of a share is Rs. 100 and market value is Rs. 75, then the correct answer will be :-
(a) the share is at premium of Rs. 175
(b) the share is at discount of Rs. 25 ✔
(c) the share is at premium of Rs. 25
(d) the share is at discount of Rs. 75
The face value of the share is = Rs. 100
Discount = Rs. 25
•°• Market value of the share = Rs. 100 - Rs. 25
= Rs. 75.
Therefore,
If the face value of a share is Rs. 100 and market value of the share is Rs. 75, then the share is at a discout of Rs. 25.
Hence,
(b) the share is at discount of Rs. 25 will be the correct answer.
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