2. Nyaria is a company in the FMCG industry. It has a current market price of Rs. 300 and a profit after tax of Rs. 5,00,000. The number of equity shares that the company has issued are 100,000. The book value of the equity of the company is rS. 30,00,000 and the face value is Rs. 10 per share.

a) Calculate the PE and PB Ratio of the company.

b) Explain any two determinants of high PE ratio. For each of these variables , state whether it is positively or negatively related to the ratio.

c) Raider Ltd is planning a hostile takeover of Nyaria. Discuss any two takeover defenses that Nyaria might adopt to thwart the takeover. Give suitable examples