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Question : The market value of equity shares is determined by:

Option 1: Face value
    

Option 2: Book value
 

Option 3: Earnings per share

 

Option 4: Demand and supply factors


Team Careers360 5th Jan, 2024
Answer (1)
Team Careers360 9th Jan, 2024

Correct Answer: Demand and supply factors


Solution : The correct answer is (d) Demand and supply factors

The market value of equity shares is primarily determined by demand and supply factors in the stock market. It is influenced by various factors that impact investor sentiment and perception of the company's value. The interaction between buyers (demand) and sellers (supply) of equity shares in the market ultimately determines the prevailing market price.

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