RR Ltd. in its capital structure has 1,00,000 equity shares of ₹ 10 each and 5000 preference shares of ₹ 100 each. At present the market value of equity shares is ₹ 16 and preference share is ₹ 120. In this case, the Mar

CS Executive · Corporate and Management Accounting · PYQS · December 2023
RR Ltd. in its capital structure has 1,00,000 equity shares of ₹ 10 each and 5000 preference shares of ₹ 100 each. At present the market value of equity shares is ₹ 16 and preference share is ₹ 120. In this case, the Market Value Added (MVA) is:
(A) ₹ 6,00,000
(B) ₹ 12,00,000
(C) ₹ 16,00,000
(D) ₹ 22,00,000

Answer & Explanation:

The official key records '*'. This question is excluded from automatic grading because the source does not supply an unambiguous valid choice. Official source note: None of the options are correct as correct answer is ₹ 700000 [1600000+600000]-[1000000+500000]

Topics: Management Accounting

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