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so both are important Even though both are important would paid-in capital be more important since this is the amount investors are contributed above the par value of the stock which would show the stability of the company.

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16y ago

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What is the cheapest and most important source of equity capital in a firm?

5. , the cheapest source of capital is debt. Whereas the most expensive source of capital is common stock. Because common stock holders do share the actual profit earned from the operation of a business. But when it comes to bonds, they are simply stated in terms of interest. Besides the ownership interest in common stock will make it more expensive while vice versa is for debt.


What best describes a capital gain?

A capital gain is the increase in the value of an asset, such as stocks or real estate, when it is sold for more than its purchase price. It represents the profit earned from the appreciation of the asset over time. Capital gains can be classified as short-term or long-term, depending on how long the asset was held before the sale, with different tax implications for each.


What does it mean to have you capital gains and dividends paid out to you?

Having your capital gains and dividends paid out to you means that you receive the profits earned from your investments directly as cash or reinvested in your account. Capital gains occur when you sell an asset for more than you paid for it, while dividends are earnings distributed by a corporation to its shareholders. This payout can provide immediate income, which you can use for expenses or reinvestment, but it may also have tax implications that you should consider.


Can paid up capital greater than a companies authorised capital?

Authorized capital is the maximum amount company can raise so paid up capital cannot be more than authorized capital


Where might one learn more about working capital factoring?

One may learn more about working capital factoring by reading All State Capital, Lendio, and Market Invoice. Other ways to learn about capital factoring include Disnat and Advance Me.

Related Questions

Why is important for a bank to have a tier 1 capital?

A tier one capital is a measure of the bank's strength. If you want a better and more reliable bank it is important for it to have a tier one capital.


What important happened in Ontario?

there are many important things happening in Ontario as we speak, please be more specific. Toronto, is the capital of Ontario, and Ottawa is the capital of Canada.


How come in mockingjay they don't have the 76th game?

Well in the end of catching fire you earned that there is no more district 12. After that the districts basically just fall apart. So since not all of the districts are there anymore the hunger games would be impossible.OR:There is no more Capital. The Games were enforced by the Capital to punish the Districts. No Capital, no games.


What is the cheapest and most important source of equity capital in a firm?

5. , the cheapest source of capital is debt. Whereas the most expensive source of capital is common stock. Because common stock holders do share the actual profit earned from the operation of a business. But when it comes to bonds, they are simply stated in terms of interest. Besides the ownership interest in common stock will make it more expensive while vice versa is for debt.


Why is Salem an important city?

One reason it's important is because Salem is the capital of Oregon. You can read more about it, below, to decide for yourself what is important to you about Salem.


What is more important to an economy-exports or foreign capital inflows?

I think exports reduces the Balance of payment while foreign capital inflow increases the Balance of payments.


What is more important to an economy exports or foreign capital inflow?

I think exports reduces the Balance of payment while foreign capital inflow increases the Balance of payments.


Gary Becker who is a winner of the Nobel Prize says that ''human capital is by far the most important form of capital in creating wealth and growth'' Why does he say this?

Workers with high human capital are more productive and earn more money than those with fewer skills.


What make Damascus an important city?

What makes Damascus an important city is that it is the capital and that it was founded as a trading center more than 5,000 years ago.


What country is Sol the capital of?

Sol is not the capital of any country. "Sol" means Sun in Spanish, and some places may have been named after this word. It is important to provide more context or specify which specific location you are referring to in order to give a more accurate answer.


What best describes a capital gain?

A capital gain is the increase in the value of an asset, such as stocks or real estate, when it is sold for more than its purchase price. It represents the profit earned from the appreciation of the asset over time. Capital gains can be classified as short-term or long-term, depending on how long the asset was held before the sale, with different tax implications for each.


How can you get your parents to let you go to the park in your subdivsion?

Getting parents to allow their children privileges is usually based on trust. If the child has shown that they can be trusted, sometimes with new or more important responsibilities, then more privileges may be earned. Sometimes if the child asks for more responsibility, or takes better care of current responsibilities, more privilege can be earned that way as well.

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