GLOSSARY ENTRY (DERIVED FROM QUESTION BELOW) | ||||||
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16:35 Apr 25, 2022 |
Greek to English translations [PRO] Bus/Financial - Economics | |||||||
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| Selected response from: Anastasia Kalantzi Greece Local time: 02:18 | ||||||
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Summary of answers provided | ||||
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2 +1 | share's paid-up capital ratio to total paid-up capital |
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share's paid-up capital ratio to total paid-up capital Explanation: Companies issue shares of stock or equity for various reasons, including to fund expansion or pay down debt. In this article, we'll explore the various terms that are used in the process of issuing stock to raise capital. Share Capital Share capital consists of all funds raised by a company in exchange for shares of either common or preferred shares of stock. The amount of share capital or equity financing a company has can change over time. A company that wishes to raise more equity can obtain authorization to issue and sell additional shares, thereby increasing its share capital. Share capital is only generated by the initial sale of shares by the company to investors. It does not include shares being sold in a secondary market after they've been issued.1 Authorized Share Capital Authorized Share Capital is the maximum amount of share capital that a company is authorized to raise. This limit is outlined in its constitutional documents and can only be changed with the approval of the shareholders. Before a publicly traded company can sell stock, it must specify a specific limit to the amount of share capital that it is authorized to raise.2 A company does not usually issue the full amount of its authorized share capital. Instead, some will be held in reserve by the company for possible future use. The amount of share capital or equity financing a company has can change over time. A company that wishes to raise more equity can obtain authorization to issue and sell additional shares, thereby increasing its share capital. https://www.investopedia.com/ask/answers/033015/what-differe... https://www.investopedia.com/terms/p/paidupcapital.asp https://cleartax.in/g/terms/paid-up-capital https://businessjargons.com/paid-up-capital.html |
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