SAIFM RPE Equity Market Practice Questions - SAIFM Registered Persons Examination - The Equity Market Exam

What is the difference between authorised share capital and issued share capital?

Authorised capital is the maximum the company may issue under its constitution; issued capital is the portion actually allotted to shareholders Authorised capital is always equal to market capitalisation Issued capital is only debt outstanding Authorised capital is the daily trading volume

Correct Answer:

Authorised capital is the maximum the company may issue under its constitution; issued capital is the portion actually allotted to shareholders

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