yes, share market is a capital market but secondary market as company has no direct contact with the share holders. persons deals in sharemarket through stock exchanges.
commercial bank,capital market,share capital
Total equity share capital of a corporation is the product of number of shares issued times current market price. If XYZ corporation has 100 Million shares outstanding and the current market price is $5 per share, then total share capital is 100 Million x $5 = $500 Million
Share can have mutliple values at a time. Face value of share is the value written on share document while market value of share is the value at which share is currently selling in capital market. For Example: when a new share issued by company value on share is $10 which is face value. After one year of issue of share, share is selling in market at $12 which is it's market value.
share premium could be calculated as by getting the difference between the market price of the share and its nominal price. Formula: Share Premium= Market Price - Nominal Price
> develop market infrastructure and microstructure > Create awareness and education progams for investors and business to raise their capital > Supervise the share market so that it works fairly.
Following are different types of share capital. 1 - Preference share capital 2 - Common share capital
Yes, the share of capital stock is typically assigned based on its market value, which reflects the price investors are willing to pay for it in the stock market. This market value can fluctuate due to various factors, including company performance, investor sentiment, and economic conditions. However, the book value of capital stock, which is based on the company's financial statements, may differ from market value. Investors often use market value to assess a company's worth and make investment decisions.
issued share capital
The authorised capital which is issued to the public is known as issued capital equity share capital is one of the class of capital
Yes, the share capital of an entity can be revalued. This is typically done by conducting a valuation of the company's assets and liabilities to determine their fair market value. The revaluation can result in an increase or decrease in the share capital depending on the difference between the previous and new valuations. It is important to follow the legal and accounting regulations specific to the jurisdiction in which the entity operates.
Preference share capital is type of capital which has preference on other type of share capital as preference share capital may have more profit ratio than other and it is paid first from profit of company and preference share holders get there share even if company has earn no profit. Equity share capital is share capital on which share holders get share from profit in the last after paying every other obligation on company. Detail answer available in related link.
Nominal share capital is like an authorized share capital. The share capital that the company allowed (the maximum amount) to issue as registered capital when the company is incorporated. It can be changed later by the approval of the shareholders.