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ASSIGNMENT NO.

01
MGT 211 SPRING 2023
STUDENT NAME: ANSA NADEEM
STUDENT I’D: Bc2204154455

SOLUTION:
The kinds of share capital presented in this case with each kind are given below:

1. Authorized Share Capital:


It refers to the maximum number of shares a company is legally allowed to
issue or offer based on its corporate charter. In this case, the authorized share capital
of Alpha limited is Rs. 500,00o, which is divided into 25,000 ordinary shares of Rs.
20 each.

2. Issued Share Capital:


It refers to the total value of shares that a company has issued to its
shareholder for subscription. In this case, Alpha limited offer 15,000 shares to the
general public.

3. Subscribed Share Capital:


It refers to any capital raised through subscribed shares that has been
subscribed by the public. In this case, the general public subscribed to 14,500 shares
of Alpha limited.

4. Called-up Share Capital:


It refers to the amount of capital that consists of shares that are not fully
paid for upfront. Company demanded this amount of shares from its shareholder. The
total payment for shares will be done in the future.

5. Paid-up Share Capital :


It refers to the amount of capital that company has received from
shareholders in exchange for shares of stock. Shareholders have actually paid to the
company. In this case, the subscribed paid up the application money on 14,500 shares
to Alpha limited.

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