Share premium is a liability to the company. It is used to write off preliminary expenses and is used to issue bonus shares etc.
Share a game so not confidence.
Asset - Liability = Net Asset / Liability * Net Asset - When Asset is more than Liability * Net Liability - When Liability is more than Asset
Premium on capital stock is neither an asset nor a liability. It is a component of shareholders' equity and represents the amount that exceeds the par value of the stock. It is typically recorded as a separate line item in the equity section of the balance sheet.
yes It is an Asset, not a Liability.
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