Valuation of shares : meaning , need of valuation of shares,method and types
Need of valuation of shares: The value of every share is printed in front of the share (certificate) search a value is called face value of the share the actual price maybe different and their force it becomes necessary to value the share on money accasions such as Sale or purchase for share of company whoess share a not quoted on the stock exchange Went to or more companies Amalgamate or one company absorb another company When a company has decided to undergo a process of reconstruction When purchaser Aquarius majority of share of limited company If lawn is to be reised on the security of share Conversion of one class of share into another class For taxation purpose e.g gift tax wealth tax act Under a seheme of nationalisation when the share of company air taken by the government Method of valuation of share 1 net asssts method 2 yield method 3 fair value method 1. Net assets method : This method is also called asset banking of increase value of a ...