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share capital

Soni Darshan (41 Points)

28 December 2018

why share capital show in liability side?

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Rakesh Bandal (Self Employed and Agriculture) (1349 Points)
Replied 28 December 2018

Being libility of business, to be owed to investor

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Sumit Sarswat (Student) (3154 Points)
Replied 28 December 2018

Share capital is not of business rather it is for business given by shareholder , that means shareholder invested money in business and at the end the same will be given back to shareholder so that it's a liability of business.

satish (teaching) (2046 Points)
Replied 29 December 2018

simply sources of fund to the business is
1. from owners
2. from outers
in your query owners fund is share capital. so it is to be settle to the share holders like liability members

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