I dont rregard it as a liability because as this money cannot be called up by share holders how could it be regarded as capital can any one answer it?
the market value of capital is a company's to market value minus is liability
what is meaning of liability in accounting
when a countries people is skilled by well trained-up,then we can consider as human capital. Human capital is the capital of talented and skill people which can be used in an organization to improve its productivity.
For Bank: Liability For You: Asset
A company can be a limited or unlimited. Limited liability company is one which limits the liability of the members(shareholders) by (1) limited by shares or (2) limited by guarantee. Therefore Company limited by guarantee is a type of limited company which means the liability of the members' is limited by the guarantee given by them while becoming the member. The members have agreed to be liable to the company at the time of liquidation of the company upto an amount for which he is liable and does not have any other liability. Limited by shares means the member (shareholder) is liable for the value of the shares only. Members of the company with unlimited liability has unlimited liability for which they are liable even from their personal property if required.
Capital stock is part of liability
This is capital employed which is not Equity. It is a liability and attracts a fixed interest with a capital repayment made at the end of the life of the liability
1. Capital introduced in business is liability of business towards it's owner to payback, so if owner's introduce more capital it increases the liability of business that's why it is also liability.
capital is an amount invested by the proprietor, according to separate entity concept owner is different from the company so, capital is treated as liability.
Yes owners capital is liability for businss towards its owners to be return back at the even of liquidation of business.
Capital account is liability nature of account because any capital introduce by owner towards business is the liability of business to return to it's owner.
As capital is a contibution by company owner towards business and capital is a liability of a business and due to which it has credit balance, that's why any contribution towards capital will be treated as liability of business and it will be credited to capital to increase capital
Long term
is paid in capital a liability
no owners capital is not an asset its an internal liability for the company
no owners capital is not an asset its an internal liability for the company
Capital is that amount which is invested by owner of business in business and it's the liability for business to return back to it's owner that's why it is liability.