The capital of Juhi Ltd. is as follows: 10% Preference shares of ₹10 each : ₹5,00,000 Equity shares of ₹100 each : ₹7,00,000 Other information : Profit (after tax @ 50%) : ₹1,55,000 Depreciation : ₹60,000 P/E ratio : 12

CS Executive · Cost and Management Accounting · PYQS · December 2016
The capital of Juhi Ltd. is as follows: 10% Preference shares of ₹10 each : ₹5,00,000 Equity shares of ₹100 each : ₹7,00,000 Other information : Profit (after tax @ 50%) : ₹1,55,000 Depreciation : ₹60,000 P/E ratio : 12 times The market price of equity share will be —
(A) ₹265.71
(B) ₹162.86
(C) ₹180
(D) ₹156

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Financial Management

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