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Question Practice

If a company has a Book Value per Share of Rs. 50 and Earnings per Share of Rs. 5, what does this imply?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Accountancy
Accountancy Part - II
Accounting Ratios
Question Bank

If a company has a Book Value ...

Single Answer MCQ
Q-00082850

If a company has a Book Value per Share of Rs. 50 and Earnings per Share of Rs. 5, what does this imply?

1

The company has high equity value compared to earnings

2

The company has low equity value compared to earnings

3

There is no relationship between these figures

4

The company is making high profits

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