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What is the difference between Capital Reserve and Reserve
Capital?
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Answer Posted / paparanjan biswal
Reserve capital:It is the part of the Authorized capital which is not called up by the company.This amount can called up by the company in case at the time of the company's winding up.This capital can't be use for divident purpose.
Capital Reserve:Capital profit is created by the net profit of the company.The pfofit should be in capital in nature but not from revenue income.It can be used in future requirements.
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