In balance sheet price of share is presented at Nominal value and not market value...than how companies affected by Market value of share price?
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A company's real value is their products and their sustainability. Mostly movements in share prices are due to speculations and knowledge gap.
In the end, share value is the realisable value of the company and its assets.
Market value helps in determining the value of capital a company can raise from the market and its expected cost. This rate of return is used for discounting in many areas. From this viewpoint, market value watch is important.
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