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Equity share capital

Updated: 9/11/2023
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14y ago

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Total equity share capital of a corporation is the product of number of shares issued times current market price.

If XYZ corporation has 100 Million shares outstanding and the current market price is $5 per share, then total share capital is 100 Million x $5 = $500 Million

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Related questions

Difference between issued share capital and equity 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


Is share capital an equity?

Yes share capital is part of equity which may includes other kind of capital as well like owner’s capital etc


What is an equity share?

Equity share means the single minimum unit of entire share capital of business so if company has total capital of 100 and share price is 10 then total equity shares are also 10 (100/10).


What is share holders fund?

Equity Share Capital +Preference Share Capital + Reserves and Surpluses constitute the Share Holders fund


Where does 'ordinary share capital' go on a balance sheet?

Ordinary share capital is shown under equity section of balance sheet as all kind of capital is shown in equity section


What is debt equity means?

It mens that how much share capital of company is employed by using debt by issuing bonds or other debt instruments and how much portion of share capital employed by using capital from the share holders of company which is called equity capital.


What is equaty share?

Equity share is one share from all share capital of company and it is basic non devisable unit of measure of capital of company.


What are the difference between equity share capital and preference shares capital and examples?

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.


Does the paid-up capital include preference capital or only equity capital?

Paid in capital includes the preference share capital as well as common share capital as well.


Difference between share capital and owner equity?

Owners equity is that portion of capital which is invested by actual owners of business while share capital is that portion of capital which is invested by third parties or investors in business like general public etc.


What are the components of equity?

a) Shareholder's Equity = Share Capital + Retained Earnings - Treasury Shares or b) Shareholder's Equity = Assets - Liabilities


What are the advantages of equity share capital?

the advantages are easy, go die !