This document discusses the classification of company shares. It explains that company capital is divided into shares, which are movable property. Shares can be preference shares, equity shares, or deferred shares. Preference shares may be cumulative, non-cumulative, participating, convertible, or redeemable. Equity shares carry voting rights but lower priority in dividends than preference shares. Deferred shares have the lowest priority. The document also discusses issuing shares at par, premium or discount, underwriting shares, and defining types of share capital such as authorized, issued, subscribed, called-up, paid-up and reserve capital.
2. The capital of the company usually divided
into a number of indivisible unit of specified
amt. Each of such unit is called share.
3. Acc. to sec 82 of company act “a share of any
member in a company is movable property
transferable in the manner provided by the
article of the company.
8. Right of dividend
Return on capital
Rate of dividend
Certainty of dividend
Redemption
Voting rights
Risk
Necessity
Type
9. 1. Issue of shares at par
2. Issue of shares at premium
3. Issue of shares at discount
10. Restriction of first issue
Time issue
Rate of discount
Ordinary resolution in general meeting
Sanction by CLB
Duration of issue
Penalty
13. Stock is the aggregate of fully paid-up shares
of a member merged into one fund of equal
value. It is a set of shares.
14. Cannot be issued originally
Only fully paid-up shares
Provision in article
Reconverted into shares
15. It is a device used by companies for making
sure that the necessary cap. will come even if
the proposed issue gets a poor response of
the public.
Underwriting commission
Advantages
16. Share capital means the capital raised by a
company by the issue of shares.
19. Authorised by articles
Resolution in general meeting
Notice to registrar
Changes by registrar
Penalty
Effect of conversion of shares into stock
Information of increase of share capital