Advertisements
Advertisements
Question
Explain the following term/concept.
Subscribed capital
Solution
(a) It is that part of the issued capital which is taken up by the public. Sometimes, the public may not take up all the shares that are offered to the public, for a subscription.
(b) In such a case, the subscribed capital shall be less than the issued capital. If the public subscribe to all the shares, it shall be equal to the issued capital.
APPEARS IN
RELATED QUESTIONS
Write a word or a term or a phrase which can substitute the following statement.
Pre-emptive right given to existing Equity shareholders to subscribe to new issue of shares by company.
State whether the following statement is true or false.
Floor price is the highest bid price under Book Building method.
Find the odd one.
Answer in one sentence.
To whom can a company issue Bonus Shares?
Answer in one sentence.
Name the capital which is mentioned in the capital clause of Memorandum of Association.
Correct the underlined word and rewrite the following sentence:
FPO refers to offering of shares to the public for the first time.
Explain the following term/concept.
Employees Stock Option Scheme
Initial Public Offer and Further Public Offer
Answer in brief.
State the provisions related to Bonus Shares.
Explain Employee Stock Option Scheme.
Answer the following question.
Explain briefly the different types of shares offered by a company to its existing equity shareholders.
Match the pairs.
| Group A | Group B |
| a) Bond holders | 1) Deals with acquisition and use of assets |
| b) IPO | 2) Declared in Annual General Meeting |
| c) Corporate finance | 3) Any issue after first-time public offer |
| d) Final dividend | 4) Deals with acquisition and use of capital |
| e) Preference shares | 5) First-time public offer |
| 6) Fixed rate of dividend | |
| 7) Owners | |
| 8) Fluctuating rate of dividend | |
| 9) Creditors | |
| 10) Declared in board meeting |
Explain the following term/concept.
Employee Stock Purchase Scheme
State whether the following statement is True or False:
Bonus shares are fully paid-up shares.
Give one word or phrase for the following sentence:
Process of offering shares of the company to the public for the first time.
Explain provisions that the company must fulfil.
Give one word or phrase for the following sentence:
Full form of SARS.
______ is the process of offering shares to the general public.
Study the following case/ situation and express your opinion:
Gillete Ltd. Company's capital structure is made up of 1.00.000 equity shares having a face value of ₹ 10 each. The company has offered to the public 40.000 equity shares and out of this the public has subscribed for 30,000 equity shares. State the following:
- Authorized Share Capital
- Issued Share Capital
- Subscribed Capital
Explain the following term/concept:
Bonus shares
