Equity
Components of Equity
1) SHARE CAPITAL :
1) SHARE CAPITAL :
Money collected by issuing shares through IPO or right issues.
2) SHARE PREMIUM :
Excess amount received by a firm over the par value of its shares during IPO.
3) TREASURY SHARES :
Company repurchases its own shares.
4) RETAINED EARNINGS :
4) RETAINED EARNINGS :
Cumulative earnings of company from previous years.
5) OTHER RESERVES :
Reserves that had been set aside for other purposes.
6) NON-CONTROLLING INTEREST :
6) NON-CONTROLLING INTEREST :
Equity interest owed by minority shareholders in subsidiaries firms which are
not wholly owned by company.
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