What is Nominal value of Share?
- 8 Answers
- 34287 Views
- I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / reena
Nominal value of the shares means the face value of the
shares. It is fixed by the Company at the time of issue /
subcription of shares. It is the maximum value which can be
demanded by the Company from the shareholders who subscribe
to the shares.
| Is This Answer Correct ? | 48 Yes | 21 No |
Answer / neha
Under the Companies Act 1985 shares may be issued by the
company to shareholders in return for cash or other value
equal to or greater than its nominal value. Shares in the
authorized share capital are available to be issued. The
issued share capital refers to shares which have been
allotted and issued and held by shareholders. Not all of the
authorised share capital needs to be issued. When shares are
issued the person subscribing must pay cash or equivalent
value of at least the nominal amount. Where the share is
worth more than its nominal amount, a premium may also be paid.
| Is This Answer Correct ? | 41 Yes | 24 No |
Answer / ajay
nominal value of share is also known as face value of
share. It is determined by the company before filing of
prospectus. It is recognised value of a share and which
distinguishes one kind of share to another. It is the value
for which a shareholder is liable. it can be in multiple of
Rs. 1 and can not be in fraction.
| Is This Answer Correct ? | 21 Yes | 12 No |
Answer / sinchana
the value fixed for each share is called it's original or nominal value.
| Is This Answer Correct ? | 1 Yes | 1 No |
Answer / bhimaray
The nominal value of a share is an arbitrary value allotted to that unit. When considering shares, it is usually the market value and not the nominal or book amount which investors and other stakeholders are interested in
| Is This Answer Correct ? | 2 Yes | 3 No |
Answer / arnab
Nominal Value is the face Value.It is price of 1 share
originally issued by a company.
| Is This Answer Correct ? | 15 Yes | 17 No |
Answer / prashant arjun kole
The stated value of an issued security. Nominal value in
economics also refers to a value expressed in monetary terms
for a specific year or years, without adjusting for
inflation. When used in reference to securities, nominal
value is also known face value or par value.
| Is This Answer Correct ? | 0 Yes | 2 No |
Answer / manas jose
the nominal value of share is the maximum amount at whih
the share can issued.
| Is This Answer Correct ? | 37 Yes | 50 No |
what is bonus issue?
is cs equivalent to post graduation course?
difference between cash book and bank book?
18 Answers Accounting, College School Exams Tests, IBM,
What are the main differences between corporate debt and equity? Why do some firms try to issue equity in the guise of debt?
Three charities have common trustees and currently produce separate accounts. Can the charity somehow put these together as a single set of accounts?
Does provisions need to be subtracted from reserves if net worth is calculated on the basis of share capital based method
What are the factors that come under general office administration especially if it the industry type is Software,BPO,Telecoms and constructtions?
Hi I would like to know about TDS on Service Tax invoices.We are in rental basis shopping mall.We will raise the bill with service tax.2 types of invoice 1 Rental Invoices with service tax 2. Comman Area charges with service Tax Please let me know how the tenant need to deduct the TDS On gross or Basic.......?
what is the meaning of CTT
where will be effect the amount of depreciation in company final account? If it will effect in P&L A/c & Balance Sheet also than will amount be same in both sheet?
11 Answers Global Automation, IBM,
Occasionally it is said that issuing convertible bonds is better than issuing stock when the firms shares are undervalued. Suppose that the financial manager of Decent Furniture Company does in fact have inside information indicating that the decent stock price is too low. Decent furniture earnings will in fact be higher than investor’s expectations. Suppose further that the inside information cannot be released without giving away a valuable competitive secret. Clearly, selling shares at the present low price would harm Decent’s existing shareholders. Will they also lose if convertible bonds are issued? If they do lose in this case, is the loss more or less than it would be if common stock is issued? Now suppose that investors forecast earnings accurately, but still under value the stock because they overestimate Decent’s actual business risk. Does this change your answer to the questions posed in the preceding paragraph? Explain.
If you have a charitable company, limited by guarantee, and a trading subsidiary, which is also a company, how do you consolidate the accounts?
Audit 
