English, asked by kishorupendra07, 11 months ago

4. What do you mean by Capitalisation? State the effects of over and
under Capitalization.

Answers

Answered by malik3650

Explanation:

Over-capitalisation affects the company, the shareholders and the society as a whole. The confidence of Investors in anover-capitalised company is injured on account of its reduced earning capacity and the market price of the shares which falls consequently.

Previous Question

Next Question

Similar questions

Math, 6 months ago

The number of bottles of cold drinks sold by a shopkeeper on six consecutive days is as follows : Day Sun Mon Tue Wed Thu Fri Number of bottles 350 200 300 250 100 150 Make a pictograph of the data where one symbol represents 50 bottles.

English, 6 months ago

you encounter two strange people they were different from normal human beings but were quite interesting as Manish / Manisha write a story about 150 to 200 words narrating your experience with them? please answer it...

Hindi, 6 months ago

What do u need to know...

Math, 11 months ago

The length of a rectangle is 3 morethan its breadth. its perimeter is 2 its breadth is...

English, 11 months ago