Question

Which relationship correctly describes a share issued at a discount?

विकल्प

• \[ \text{MV} = \text{FV} \]

• \[ \text{MV} > \text{FV} \]

• \[ \text{MV} = \text{FV} + \text{Premium} \]

• \[ \text{MV} < \text{FV} \]

Answer 1

Market Value is less than Face Value (MV < FV) means the share is at a discount. Discount = FV − MV.