Answer / krishnachaitanyanellore

Authorised capital is that capital which is decided by the
Registrar (recruited under companies act,1956)as the maximum
amount that can be raised from the shareholders. Say Rs20
crores.

Issued capital is that part of the authorised capital which
is brought before the public for subscription. Say Rs 18
crores.

Subscribed capital is that part of the issued capital that
is actually subscribed by the public. Say 16 crores.

Paid-up capital is that part of the subscribed capital that
is collected by the company as a part payment. Say 8 crores.
The due part will be collected by the company is the
immediate future.

Answer / vijay gawalkar

At the time of Incorporation of Company, in Article of
association the maximum limit of Capital to be raised from
shareholder are mention called Authorised Share Capital.
Note, company cannot raised capital amount more than
Authorised Captial unless the Article of Association is
ammended by passing special resolution by the share holders
with approval of central Government and ROC.

Subscribed share Capital is nothing but the share Capital
issued to the shareholder and subscribed by share holder.

Answer / s.krishna manohar

how much amount shown in articles of association is called
authorised capital and how much issued from authorised
capital in issued capital where how much subscribed from
issued capital is called subscribed capital.

Answer / sivakumar

which a company is authorised to issue by its memorandumis
called a authorized capital.
it is that part of issued capital which has
been subscribed capital

Answer / aarti sharma

The authorized capital is the capital limit authorized by
the Registrar of Companies up to which the
shares can be issued to the members / public, as the case
may be.
The issued capital is a part of authorized capital issued
to shares holders.

The Subscribed capital is a part of issud capital accepted
by Sharesholdrs.

The paid up share capital is the paid
portion of the capital subscribed by the shareholders.

Answer / haraprasad rout

Authorised capital or nominal capital is the maximum amount
of capital which a company can raise from varoius persons
by way of issue of shares i.e.Out sidres, Directors and
their relatives or any other party and is mentioned in the
Object clause of the memorandum of association of the
company.In other words, the authorised capital is the
maximum amount of capital with which the company has been
registered with the Registrar of companies after payment of
appropriate fees, beyond which the company can not issue
the shares to any body.

Subscribed capital is that portion of the Authorised or
nominal capital which has been issued by the company and
has been subscribed by various persons.

Answer / gowtham

I don't know, my question may be foolish. Recently Central
government/ROC/CLB has increased Satyam computers Authorized
share capital amount from 120 cr to 280 cr.

What is the significance of this act?
How it impacts existing shareholders?
What will happen to the extra 120 cr increased capital?

Thanks,
Gowtham

Answer / muneeb

Authorised Capital (Registered Capital) of a company is the
upper ceiling limit of capital which a company can issue
shares and collect money from the shareholders. Authorised
Capital of a company can be enhanced by a Resolution at a
meeting of Shareholders.

Answer / anindita

Authorized or Registered Capital: it is the capital, which
is registered with the registrar of the company. It is the
highest limit of which a company can do its business
however, the company can operate its business with the less
amount than the authorized capital which is divided into a
number of shares of certain value each. For instance, a
company may have an authorized capital 100 million rupees
divided into 10 million shares of Rs.10 each Company
generally get their capital authorized much above their
current needs. Issued capital: an mentioned above the
company does not usually operate its business with the
amount as high as authorized capital because it is above it
current requirement . Hence the company do not issue the
whole of authorized capital. The part issued for public
subscription is referred to issued capital. To continue the
above example, out of Rs.100 million authorized capital a
company may issue Rs.50 million divided into 5 million
shares of Rs.10 each for public subscription. This capital
is known as issued capital. Subscribed capital: it is the
amount of capital agreed by the public to contribute in
response to the call of company. If the company enjoys a
good market reputation the capital may be oversubscribed in
this case over subscription will have to be refunded.

Answer / dilip

Authorised capital or nominal capital is the maximum amount
of capital which a company can raise from varoius persons
by way of issue of shares i.e.Out sidres, Directors and
their relatives or any other party and is mentioned in the
Object clause of the memorandum of association of the
company.In other words, the authorised capital is the
maximum amount of capital with which the company has been
registered with the Registrar of companies after payment of
appropriate fees, beyond which the company can not issue
the shares to any body.

Subscribed capital is that portion of the Authorised or
nominal capital which has been issued by the company and
has been subscribed by various persons.

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