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N. K. Gupta posted an Question
April 04, 2021 • 16:53 pm 30 points
  • UGC NET
  • Commerce

Diffence between issued capital and subscribtion capital

diffence between issued capital and subscribtion capital

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  • Rucha rajesh shingvekar Best Answer

    Issued Share Capital Issued shares are the shares sold to and held by investors of a company. These investors can include large institutions or individual retail investors. Issued share capital is simply the monetary value of the shares of stock a company actually offers for sale to investors. The number of issued shares generally corresponds to the amount of subscribed share capital, though neither amount can exceed the authorized amount. Subscribed Share Capital Subscribed shares are shares that investors have promised to buy. These shares are usually subscribed as part of an initial public offering (IPO). Underwriters often promise to deliver a certain number of subscribed shares prior to the IPO. The subscribers are usually large institutional investors and banks. Subscribed share capital refers to the monetary value of all the shares for which investors have expressed an interest.

  • Rucha rajesh shingvekar best-answer

    Issued share capital is the value of shares actually held by investors. Subscribed share capital is the value of shares investors have promised to buy when they are released.

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