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Issue of shares  Hey guys Welcome back!!!! Today I am going to tell you about issue of shares . The learning objective of this article is to enrich your knowledge about issue of shares, the accounting treatment regarding the issue and rules mentioned in laws regarding the issue. So, this article will surely boost up your knowledge regarding the companies and shares. This will help you in your exams regardless of your class (it may be +2, CA, CS, graduation etc.) so listen carefully …  There are three types of companies: 1. Private company , 2. Public Company ; 3. One Person Company .   Only the Public company can issue its share to the public after fulfilling the certain legal compliances as per the Act and SEBI. Public company can issue shares either by Public Issue of Shares , by Private Placement of Shares , by Right issue , Bonus issue , Composite issue.  Let’s talk about the issues: 1) Public issue: when company issues sh...

   Security Premium Reserve  (section 52) Hey guys  Welcome back!!!!!  Do you ever hear about security premium? OH what..? You have heard!!!!!!!   But you don’t know about it.     Don’t worry guys through this article you are going to know about what is security premium? And how we record it into accounts? And what companies act says about utilisation of security premium reserve?     Are you ready to listen? …… Yes!!!!!................ Good!!!!       So listen carefully, Your question: What is security premium in respect of issue of shares?  Me:   listen to me guys, as I talked to you in my previous articles company issues shares for getting capital, remembered... Yes? Good!!!!!!  Now listen company fix a issue price for a share it may be equal to its face value or more than the face value .     (face value means the book value of share, the...

Minimum Subscription [section 39(1) of Companies Act 2013] and Preliminary expenses   Hey guys, Welcome back!!! I know you are here to know more about companies and want yourself enrich with a vast and rich knowledge about subscription of shares and important issues of companies… I know, you love to know every single information about Companies and Companies Act, so I thought to write an another related article on shares which will keep your interest into companies and will keep yourself enrich with provisions of Companies Act. Before start talking to on the topic I would like to thank you!! As you people loved the previous articles written on shares and share capital etc. This motivates me to share my knowledge with you…… thank you once again….. Now the wait is over!!!!!!! I am discussing about the minimum subscription which is covered under section 39(1) of companies act as well as under provisions of SEBI. Ok….now listen caref...