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Question
Give one word / Term / phrase for the following statement :
The maximum amount beyond which a company is not allowed to raise funds.
Solution
Authorised / Nominal Capital
Explanation: The maximum amount of capital beyond which a company is not allowed to raise funds is known as its authorised share capital. This capital is stated in the capital clause of the Memorandum of Association of the company at the time of its incorporation.
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Answer in one Sentence only :
What is authorised capital?
Give one word / Term / phrase for the following statement :
Capital stated in the capital clause of Memorandum of Association.
Give one word / Term / phrase for the following statement :
The portion of subscribed capital which has not yet been called up.
Give one word / Term / phrase for the following statement :
The capital which is not disclosed in the balance sheet.
Give one word / Term / phrase for the following statement :
Preference share on which arrears of dividend accumulate.
Give one word / Term / phrase for the following statement :
A preference share having right of conversion into equity.
Select the most appropriate answer from the alternatives given below and rewrite the sentence :
Nominal value of shares allotted to the public is called _____________ capital.
Select the most appropriate answer from the alternatives given below and rewrite the sentence :
The document inviting offers from public to subscribe its share is called _____________.
(Calculation of different types of Capital):
From the following details calculate authorised capital, issued, subscribed, called up and paid up share Capital and also calls in arrear and uncalled capital :
Pankaj Ltd. was formed with a capital of Rs 5,00,000 divided in to 5,000 shares of Rs 100 each. Of these 1,000 shares were issued to the vendor as fully paid in payment of purchase of machinery. 3,000 shares were offered to the public and of these 2,500 shares were applied and allotted. Rs 10 was payable on application and Rs 25 on allotment. The balance was yet to be called. All the money called up was duly received with the exception of allotment money on 300 shares
What is the authorised capital?
Under which of the following heading at liabilities side of the company's balance sheet, the balance in 'Calls-in-Advance' account is shown?
The liability of members in a company is ______.
Under the provisions of the Companies Act, company can issue:
Assertion (A): The equity shareholders are paid dividend on the shares held by them.
Reason (R): As the equity shareholders are the owners and dividend form their earning.
