Accountancy, asked by Cuteshivai2252, 1 year ago

Difference between alteration and reduction of share capital

Answers

Answered by chaitali12
7
alteration is conversion of capital .ex,fully paid to partly paid share ,vice versa
reduction of share capital
is reducing actual share capital .
Answered by vchilongo
5

Alteration of capital is where the company has faced an emergency and the money is needed urgently, this is where it decides to to reduce the share capital for the members to ensure that the issue is sorte for a while then things will get back to normal, while the reduction of share capital is where the shares are permanently reduced

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