The factors affecting the value of shares can be summarized as under:
1. The nature of the business
2. The income yielding capacity of the company
3. The demand and supply of shares
4. The percentage of dividend declared on shares
5. The availability of sufficient assets over liabilities
6. General economic condition e.g. availability of raw materials, possibility of new competitions.
7. Financial, political and other factors affecting the business
8. Reserves of the company
1. The nature of the business
2. The income yielding capacity of the company
3. The demand and supply of shares
4. The percentage of dividend declared on shares
5. The availability of sufficient assets over liabilities
6. General economic condition e.g. availability of raw materials, possibility of new competitions.
7. Financial, political and other factors affecting the business
8. Reserves of the company