Introduction To Limited Companies Flashcards
(9 cards)
Who are shareholders
The owners of a limited company
What is authorised share capital
The maximum share capital that a company is allowed to issue
What is issued share capital
The amount of share capital that a company actually issued
What are ordinary shares
The dividend depends on how much profit the company has avaliable
What are preference shares
The dividend is a fixed percentage of the value of shares
What are interim dividends
They are paid just over half way through the company’s financial year based on profits made
What are final dividends
Paid early into the next financial year and are based on profits made in the whole year
What are capital reserves
They’re created as result of non-trading profit and include revaluation reserve and share premium account
What are revenue reserves
Accumulated profits from trading activities kept in the company rather than paid out to shareholders
