what is authorised capitla and subscribed capital
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Answer Posted / krishnachaitanyanellore
Authorised capital is that capital which is decided by the
Registrar (recruited under companies act,1956)as the maximum
amount that can be raised from the shareholders. Say Rs20
crores.
Issued capital is that part of the authorised capital which
is brought before the public for subscription. Say Rs 18
crores.
Subscribed capital is that part of the issued capital that
is actually subscribed by the public. Say 16 crores.
Paid-up capital is that part of the subscribed capital that
is collected by the company as a part payment. Say 8 crores.
The due part will be collected by the company is the
immediate future.
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