What is Capital and Surplus written in BS ? My understanding is that
say for company x
Liability :
Share Holder Equity
Share Capital : 3 crore
Capital Surplus and Reservers : 200 crores
Loans
100 crores
Here Share capital always remain same unless new shares issued and it computed at face value .
Captial Reserves and Surplus is -------- Surplus which is the additional amount from the share sold at preimum to equity holders over and above the face value and Reserves is the money the company has actually made ......... is that right ?
Further balance bought forward to balance sheet in P/L statemement eactly says how much money the business has made ------- is that right ?
say for company x
Liability :
Share Holder Equity
Share Capital : 3 crore
Capital Surplus and Reservers : 200 crores
Loans
100 crores
Here Share capital always remain same unless new shares issued and it computed at face value .
Captial Reserves and Surplus is -------- Surplus which is the additional amount from the share sold at preimum to equity holders over and above the face value and Reserves is the money the company has actually made ......... is that right ?
Further balance bought forward to balance sheet in P/L statemement eactly says how much money the business has made ------- is that right ?