A company issues shares to raise a total capital of Rs. 25 lakhs. If the face value of each share is Rs. 100, find the total number of shares issued by the company.
- A20000
- B25000
- C30000
- D15000
Solution & Step-by-step Explanation
The relationship connecting total capital, share price, and quantity of shares is:
Total Capital Raised=Number of Shares Issued×Face Value of One Share
Given data:
Total Capital=Rs. 25,000,000(25 lakhs)
$
Calculating the number of shares:
Number of Shares=
Face Value per Share
Total Capital
Number of Shares=
100
2500000
=25000
Total Capital Raised=Number of Shares Issued×Face Value of One Share
Given data:
Total Capital=Rs. 25,000,000(25 lakhs)
$
Calculating the number of shares:
Number of Shares=
Face Value per Share
Total Capital
Number of Shares=
100
2500000
=25000