Maharashtra State BoardHSC Commerce 12th Board Exam
Advertisement Remove all ads

Answer in One Sentence Only : - Book Keeping and Accountancy

One Line Answer

Answer in one Sentence only :
Write the meaning of equity share capital.

Advertisement Remove all ads

Solution

A company can raise capital via debt capital and share capital. Debt capital is procured from lenders in the form of loans or debentures, whereas share capital is procured by issuing shares (i.e. equity shares or preference shares). Equity shareholders have ownership rights in the management of a company and the amount of equity share capital is repaid only on winding up the company.

Concept: Nature and Types of Share and Share Capital
  Is there an error in this question or solution?
Advertisement Remove all ads

APPEARS IN

Micheal Vaz Accounts - Book Keeping and Accountancy HSC 12th Standard Maharashtra State Board
Chapter 10 Company Accounts Part - 1 (Accounting for Shares)
Exercise | Q 5 | Page 350
Advertisement Remove all ads
Advertisement Remove all ads
Share
Notifications

View all notifications


      Forgot password?
View in app×