Question

what is classification of capital​

Answer 1

Answer:

Classification of Share Capital.

1. Authorized Capital. This is the amount of capital stated in the capital clause of Memorandum of Association. It is also known as “ Nominal Capital ...

2. Issued Capital.

3. Subscribed Capital.

4. Called up Capital.

5. Paid-up Capital.

Answer 2

Explanation:

Paid up capital is the part of called up capital actually paid or credited by shareholders on the issued shares. Mathematically, Paid up capital = Called up capital – Calls in Arrears. Paid up capital represents the money that the company has not borrowed.