{"id":7965,"date":"2013-01-29T09:07:29","date_gmt":"2013-01-29T09:07:29","guid":{"rendered":"http:\/\/vskills.in\/certification\/tutorial\/?p=7965"},"modified":"2024-04-12T14:13:56","modified_gmt":"2024-04-12T08:43:56","slug":"company-capitalshares","status":"publish","type":"page","link":"https:\/\/www.vskills.in\/certification\/tutorial\/company-capitalshares\/","title":{"rendered":"Company Capital\/Shares"},"content":{"rendered":"<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a ref=\"magnificPopup\" href=\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/MEANING-AND-SCOPE-OF-ACCOUNTING-64.png\"><img loading=\"lazy\" decoding=\"async\" width=\"750\" height=\"400\" src=\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/MEANING-AND-SCOPE-OF-ACCOUNTING-64.png\" alt=\"Company Capital\/Shares topic details\" class=\"wp-image-92708\" srcset=\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/MEANING-AND-SCOPE-OF-ACCOUNTING-64.png 750w, https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/MEANING-AND-SCOPE-OF-ACCOUNTING-64-300x160.png 300w\" sizes=\"auto, (max-width: 750px) 100vw, 750px\" \/><\/a><\/figure>\n<\/div>\n\n\n<p><a href=\"https:\/\/www.vskills.in\/certification\/tutorial\/business-accountant\/\" target=\"_blank\" rel=\"noreferrer noopener\">Go back to Tutorial<\/a><\/p>\n\n\n<h3><strong>Company Capital\/Shares<\/strong><\/h3>\n<p>Let&#8217;s learn more about Company Capital\/Shares. The capital of a company is usually divided into certain individual units of a fixed amount as shares. Shares are certificates representing one unit of ownership in a corporation, mutual fund, or limited partnership.<\/p>\n<h3><b>Types of Shares<\/b><\/h3>\n<p>There are basically two types of shares i.e Equity Shares and Preference Shares.<\/p>\n<p><strong>1.&nbsp;<\/strong><b>Equity Shares: <\/b>Equity shares are those shares that are ordinary in the course of company&#8217;s business. They are also called as ordinary shares. These shareholders do not enjoy preference regarding payment of dividend and repayment of capital. Equity shareholders are paid dividends out of the profits made by a company. The higher the profits, the higher will be the dividend, and the lower the profits, the lower will be the dividend.<\/p>\n<p><b>Features of Equity Shares:<\/b><\/p>\n<ul>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Owned capital<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Fixed value or nominal value<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Distinctive number<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Attached rights<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Return on shares<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Transfer of shares<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Benefit of right issue<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Benefit of Bonus shares<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Irredeemable<\/span><\/li>\n<li><span style=\"line-height: 1.714285714; font-size: 1rem;\">Capital appreciation<\/span><b style=\"line-height: 1.714285714; font-size: 1rem;\">&nbsp;<\/b><\/li>\n<\/ul>\n<p><b>2. Preference Shares: <\/b>Preference shares are those which gives their holders an entitlement to a fixed dividend but which do not usually carry voting rights. Capital stock which provides a specific dividend that is paid before any dividends are paid to common stock holders, and which takes precedence over common stock in the event of liquidation.<b style=\"line-height: 1.714285714; font-size: 1rem;\">&nbsp;<\/b><\/p>\n<h5><b>Types of Preference shares<\/b><b style=\"line-height: 1.714285714; font-size: 1rem;\">&nbsp;<\/b><\/h5>\n<ul>\n<li>Cumulative Preference shares<\/li>\n<li>Non-cumulative preference shares<\/li>\n<li>Participating preference shares<\/li>\n<li>Non-participating preference shares<\/li>\n<li>Redeemable preference shares<\/li>\n<li>Irredeemable preference shares<\/li>\n<li>Convertible preference shares<\/li>\n<li>Non-convertible preference shares<\/li>\n<\/ul>\n<div class=\"apply\">\n<p><a href=\"https:\/\/www.vskills.in\/practice\/business-accountant\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-92060 aligncenter\" src=\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/Add-a-subheading.png\" alt=\"certified business accountant free practice test\" width=\"960\" height=\"150\" srcset=\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/Add-a-subheading.png 960w, https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2020\/12\/Add-a-subheading-300x47.png 300w\" sizes=\"auto, (max-width: 960px) 100vw, 960px\" \/><\/a><\/p>\n<\/div>\n\n\n<p><a href=\"https:\/\/www.vskills.in\/certification\/tutorial\/business-accountant\/\" target=\"_blank\" rel=\"noreferrer noopener\">Go back to Tutorial<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Go back to Tutorial Company Capital\/Shares Let&#8217;s learn more about Company Capital\/Shares. The capital of a company is usually divided into certain individual units of a fixed amount as shares. Shares are certificates representing one unit of ownership in a corporation, mutual fund, or limited partnership. Types of Shares There are basically two types of&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"categories":[3333],"tags":[6716,2882,2883,2964],"class_list":["post-7965","page","type-page","status-publish","hentry","category-business-accounting","tag-business-accountant","tag-business-accountant-certification","tag-certification-business-accountant","tag-company-capitalshares"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Company Capital\/Shares - Tutorial<\/title>\n<meta name=\"description\" content=\"Want to learn more about Company Capital\/Shares. practice and validate your skills to become a Certified Business Accountant!\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.vskills.in\/certification\/tutorial\/company-capitalshares\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Company Capital\/Shares - 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