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Categories >> Accounting >> Accounting-AllOther
 
 


 

 
 Accounting AllOther interview questions  Accounting AllOther Interview Questions
Question
why share capital shown in liability side of a balance sheet
 Question Submitted By :: Guest
I also faced this Question!!     Rank Answer Posted By  
 
  Re: why share capital shown in liability side of a balance sheet
Answer
# 1
Because, the share capital shows credit balance.

Accounts showing credit balances must come under the 
liablities side of the balance sheet.
 
0
Gurumoorthy
 
  Re: why share capital shown in liability side of a balance sheet
Answer
# 2
because it is a liabilty to be paid by Company to share 
holder that's why it shown in liabilty side of balance 
sheet. i could clearify more but its difficult to write 
cause my english is not so good
 
1
Jeetu
 
 
 
 
 
 
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