Question

Discuss various methods of valuation of shares? Explain.

09 Apr 2024
Answer :
Word Count : 429

Valuation of shares is a crucial aspect of corporate accounting, as it determines the worth of a company's equity capital. Several methods are employed for valuing shares, each with its own set of assumptions, advantages, and limitations. The most common methods include:

1. Net Asset Value (NAV) Method:
   This method values shares based on the net assets of the company. It involves subtracting total liabilities from total assets and dividing the result by the number of outstanding shares. The NAV per share thus ________ ______ _______ _______ _____ ________ ____ ____ __________ _______ _________.
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