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What is the part of a company's authorised share capital that it issues for subscription called?

Question and options

What is the part of a company's authorised share capital that it issues for subscription called?

  1. Subscribed capital

  2. Issued capital

  3. Paid-up capital

  4. Authorised capital

Answer and explanation

Correct answer: B - Issued capital

Section 2(50) of the Companies Act, 2013 defines issued capital as the capital which the company issues from time to time for subscription. Subscribed capital under section 2(86) is the part that members have actually subscribed for, and paid-up capital under section 2(64) is the amount paid up on it.

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