Company Figures at the end of the Current Financial Year
Figure	Company A	Company B	Company C	Company D	Company E
Turnover (£m⚹)	11.4	160.7	2.3	7.3	60.0
Profit (£m⚹)	9.2	-33.9	-1.9	3.0	9.3
Assets (£m⚹)	42.3	640.1	25.2	27.1	130.1
Debt (£m⚹)	9.7	341.0	1.7	8.2	30.8
Share Price (pence⚹⚹)	108.0	172.1	6.0	11.3	48.7
No. of Shares (£m⚹)	0.5	2.7	0.9	3.2	7.2

⚹m = millions
⚹⚹1 pence = 1/100 of a Pound £
We recommend you provide a response to this question
If someone were to sell 3,500 shares in Company A, how many shares of Company E could they buy with the proceeds from that sale?

2,217

5,260

7,761

15,782

35,000

To solve this problem, we'll calculate how many shares of Company E can be bought with the proceeds from selling 3,500 shares of Company A. Here's the step-by-step process:

1. **Calculate the total proceeds from selling 3,500 shares of Company A:**
   - Share price of Company A = 108.0 pence = £1.08
   - Total proceeds = Number of shares × Share price
   - Total proceeds = 3,500 shares × £1.08 = £3,780

2. **Determine how many shares of Company E can be bought with £3,780:**
   - Share price of Company E = 48.7 pence = £0.487
   - Number of shares of Company E that can be bought = Total proceeds / Share price of Company E
   - Number of shares = £3,780 / £0.487 ≈ 7,761 shares

Thus, with the proceeds from selling 3,500 shares of Company A, you could buy approximately **7,761 shares of Company E**.

The correct answer is **7,761**.

Would you like more details on any part of this calculation or have any other questions?

Here are some related questions you might find interesting:
1. How would the number of shares you can buy change if the share price of Company E increased by 10%?
2. What is the total market capitalization of Company A based on the given data?
3. How does the debt-to-equity ratio of Company B compare to that of Company C?
4. What is the profit margin for each company, and which company has the highest profit margin?
5. If Company C decided to pay off its debt entirely, how much of its assets would remain?
6. What would be the new share price of Company D if it doubled its number of shares while keeping market capitalization constant?
7. How does the price-to-earnings (P/E) ratio of Company A compare to that of Company E?
8. What is the impact on the total assets if Company B paid off half of its debt?

**Tip:** Always consider transaction costs or fees when calculating the number of shares that can be purchased in real-world scenarios.

Learn how to calculate the number of shares of Company E that can be bought with the proceeds from selling shares of Company A. Includes step-by-step calculation with specific data points from financial reports.

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