Discussion
What is the full form of "CMP"?
Answer: C
Correct answer: Current Market Price
Current Market Price is the price at which a security last traded, or at which it can presently be bought or sold.
It appears constantly in Indian market usage - in research notes, in rights and preferential issue pricing, and in the SEBI takeover rules, where the offer price is set against a formula referencing recent market prices. Its significance is that it is determined by transactions rather than by valuation: book value and intrinsic value are estimates, while the market price is what someone actually paid.
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