what is the differences among
issued,paidup,authorised,subscribed capitals?
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Answer Posted / satyendra chouksey
1. Nominal Authorized or Registered Capital
Nominal authorized or registered capital means the sum
mentioned in the capital clause of Memorandum of
Association (say Rs. 10,00,000/- i.e. Ten Lakhs). It is the
maximum amount, which the company raises by issuing the
shares and on which the registration fee is paid. This
limit cannot be exceeded unless the Memorandum of
Association is altered.
2. Issued capital
Issued capital means that part of the authorized capital,
which has been offered for subscription to members (say Rs.
5,00,000/- i.e. Five Lakhs) and includes shares allotted to
members for consideration in kind also.
3. Subscribed capital
Subscribed capital means that part of the issued capital at
nominal or face value which has been subscribed or taken up
by purchaser of shares in the company and which has been
allotted (say Rs. 4,00,000/- i.e. Four Lakhs).
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