Define share capital. Differentiate between issued capital and subscribed capital.
The capital contributedby shareholders of a company for its business operation is known as share capital.
Issued capital | Subscribed capital |
Issued capital is a part of authorized capital which is offered to the public for subscription, including shares offered to the vendor for consideration other than cash . | Subscribed capital is the part of issued capital, which is subscribed by the public. |
Issued share capital is the value of shares actually held by investors. | Subscribed share capital... |