The amount of share capital a company reports on its balance sheet only accounts for the initial amount for which the original shareholders purchased the shares from the issuing company. Any price differences arising from price appreciation/depreciation as a result of transactions in the secondary market are not included.
Paid up capital stock is that share capital for which investors or shareholders has made full payment to acquire them.
Following are different types of share capital. 1 - Preference share capital 2 - Common share capital
Debt capital is the money a business receives when it takes out a loan. The holders of the loan do not become share holders of the company; they are considered to be creditors.
issued share capital
The authorised capital which is issued to the public is known as issued capital equity share capital is one of the class of capital
Preference share capital is type of capital which has preference on other type of share capital as preference share capital may have more profit ratio than other and it is paid first from profit of company and preference share holders get there share even if company has earn no profit. Equity share capital is share capital on which share holders get share from profit in the last after paying every other obligation on company. Detail answer available in related link.
Nominal share capital is like an authorized share capital. The share capital that the company allowed (the maximum amount) to issue as registered capital when the company is incorporated. It can be changed later by the approval of the shareholders.
1.cumulative preference share capital 2.non cumulative preference share capital 3.participative preference share capital 4.non participative preference share capital
Definition of capital market line
1.cumulative preference share capital 2.non cumulative preference share capital 3.participative preference share capital 4.non participative preference share capital
Preference share capital means share capital which have preference over all other kind of share capital in term of profit and clearance at the time of dissolution of business.
The total amount of issued share capital for which shareholders are required to pay is referred to as "issued share capital." This represents the portion of the authorized share capital that has been allocated to shareholders and is under their obligation to pay. In contrast, "paid-up share capital" refers to the amount that shareholders have actually paid, while "call-up share capital" pertains to amounts that may be called for payment in the future.